The Federal Government has expressed its continued openness to cryptocurrency companies, despite pursuing a lawsuit worth $80bn against Binance, the world’s largest crypto exchange.
The Federal Government filed the lawsuit last month, claiming economic losses linked to Binance’s operations in the country.
The legal action followed an earlier incident in which Nigerian authorities detained one of Binance’s US-based staff members, Tigran Gambaryan, in connection with a money laundering investigation.
Gambaryan was held for eight months before being released, and the charges were later dropped. Binance, which stopped all transactions in Nigeria in March 2024, has denied the allegations.
In an interview with a news platform, Semafor, on Friday, the Minister of Information and National Orientation, Mohammed Idris, emphasised that the lawsuit was part of the government’s effort to strengthen regulations, not to target specific companies.
We are ensuring that no one comes and operates without regulation,” Idris said, noting that other crypto companies in Nigeria continue to operate without facing legal challenges.
“There are other companies operating in the crypto sector in Nigeria, you don’t see them [facing charges],” he added.
Idris also highlighted concerns over the potential misuse of cryptocurrency for illicit activities, including terrorism financing, money laundering, and tax evasion.
He pointed out that the issue of illicit financial flows is a global concern, stressing the importance of international cooperation to ensure that transactions in the crypto space align with financial regulations.
“It is not just Nigeria. Internationally it’s also important to address illicit financial flows. You can’t have a huge amount of transactions that do not meet the operations of financial dealers,” Idris said.
