Cryptocurrency giant Binance Holdings Ltd has refuted claims made by Bayo Onanuga, media aide to Chief Bola Tinubu, regarding discussions with the Nigerian government about potential fines totaling $10 billion.
The contradiction emerged shortly after Onanuga’s statement to the BBC suggesting significant penalties for the Cayman Islands-based company.
According to a Binance official, “We recently discussed ways to resolve issues with Nigeria, but we did not hear any demand for $10 billion.” The company emphasized its desire to foster a positive relationship with the Nigerian government and people while asserting its reluctance to pay fines for personnel or services.
In response to Onanuga’s remarks, Binance clarified its position, stating, “We have no intention of paying fines for personnel or services.” The company highlighted its commitment to restoring services in Nigeria but emphasized its firm stance against extortionate fines.
Onanuga, however, clarified his statement, indicating that he never asserted that Binance had been informed of the fines or that a definitive amount had been established. He emphasized the uncertainties surrounding the potential fines, stating, “I only said the amount may be imposed, which is because nothing has been finalized yet.”
The controversy surrounding Binance escalated after Onanuga accused the platform of aiding individuals in manipulating the Nigerian exchange rate, thereby sabotaging the economy. Onanuga alleged that Binance’s activities contributed to destabilizing the Nigerian economy at a time when efforts were underway to restore stability.
The recent developments involving Binance follow a pattern of misinformation by Nigerian officials. Earlier false claims were made regarding negotiations with the United Arab Emirates, further complicating diplomatic efforts and rendering consultations fruitless.
In a related incident, two Binance officials were reportedly detained by Nigerian authorities and pressured to disclose information about Nigerian users on the platform. It remains unclear what measures Binance has taken to secure the release of its personnel.
The Nigerian government’s crackdown on cryptocurrency platforms has intensified in recent weeks, with raids targeting bureau de change operators nationwide. Central Bank of Nigeria Governor Olayemi Cardoso revealed that over $26 billion had passed through Binance in the past year.
Binance’s actions in response to regulatory pressures include collaborating with Nigerian authorities to block dollar-naira trading on the platform and disabling peer-to-peer functionality for Nigerian users. These measures signal potential limitations on Nigerian users’ ability to trade on the platform.
