Crisis Confrontation: Binance and the Nigerian Government
Date: 2024-05-08 Author: Henry Casey Categories: BUSINESS
Explanation and Views of Binance CEO
Richard Teng, CEO of Binance, has spoken out about the company's strained relationship with the Nigerian government at a time when the exchange has been embroiled in controversy over its conflict with the country's regulators. Teng also called for the release of the arrested top manager, Tigran Gambaryan.
Clash with the Regulators
The conflict began in May 2022 when the Nigerian Securities and Exchange Commission brought crypto assets under its control. Binance has repeatedly contacted the authorities for clarification and clear licensing instructions, but to no avail.
On June 9, 2023, the Nigerian SEC issued a circular warning against trading on Binance and requiring it to stop registering new users in the country. Teng said the company was illegally associated with a firm called Binance Nigeria Limited and that the circular was harmful to both it and investors.
Attempt at Settlement
In December 2023, Binance was required to appear at a hearing of the Nigerian House of Representatives Committee on Financial Crimes. In response, the head of the financial crimes department, Tigran Ghambaryan, spoke at meetings with the authorities and received an offer for a secret payment to resolve the situation.
However, Binance refused this and emphasized its commitment to act in accordance with the law and in an official manner.
