Binance vs. Nigeria: CEO Richard Teng Confronts Authorities Over Alleged Abuse of Power

The post Binance vs. Nigeria: CEO Richard Teng Confronts Authorities Over Alleged Abuse of Power appeared first on Coinpedia Fintech News

Richard Teng, CEO of Binance, openly criticized Nigerian authorities for what he claims is an abuse of power and mistreatment of cryptocurrency exchange executives. He specifically mentioned Tigran Gambaryan, who is currently detained. Teng emphasized the importance of this situation for the business community following the arrests of Gambaryan and Nadeem Anjarwalla, head of Binance Africa.

Regulatory Rift: Nigeria’s SEC Regulations vs Binance’s Attempts for Guidance

The conflict arises from the 2022 SEC regulations governing crypto exchanges in Nigeria. Despite Binance’s proactive efforts to seek guidance, they have received no response. Moreover, Binance asserts that no Virtual Asset Service Provider (VASP) has been licensed under these regulations till date.

Cryptocurrency Bribery Allegations: Binance’s Account vs. Nigerian Denials

In early 2024, during discussions with Nigerian officials, Binance claims they were approached with a demand for a significant cryptocurrency payment to settle unspecified allegations. Nigeria denied these bribery allegations, dismissing them as tactics to divert attention from Binance’s activities.

Also read: Tigran Detained!? Binance CEO Demands Release of Employee in Nigeria

Nigeria’s Response: Dismissing Bribery Claims as Diversionary Tactics

Nigeria’s Information Ministry spokesperson, Rabiu Ibrahim, rejected Binance CEO’s bribery allegations as baseless and claimed they were part of an orchestrated effort to deflect attention. Ibrahim also characterized these allegations as part of Binance’s strategy to divert attention from its activities. The Nigerian government firmly denied any involvement in bribery attempts. It accused Binance of making fictional claims and conducting media campaigns to improve its reputation amid ongoing criminal prosecutions in multiple countries.

Cryptocurrency Scrutiny in Nigeria: Addressing Naira Depreciation and Regulatory Adjustments

The dispute unfolds amidst Nigeria’s intensified scrutiny of cryptocurrencies, fueled partly by concerns over the depreciation of the local currency, the naira.

The currency’s decline is partly attributed to adjustments in foreign exchange controls and increased volatility managed by the Nigerian authorities. The SEC has banned person-to-person crypto trading involving the naira to address these concerns. Additionally, they have hinted at forthcoming regulations to govern the sector.

However, Binance has yet to respond to Nigeria’s accusations and denials, leaving uncertainty about Tigran Gambaryan’s future and the implications of Binance’s operations in Nigeria.

BNB’s Positive Trading Despite Turmoil

Despite the turmoil, BNB, Binance’s native token, continues to experience positive trading at $600, with an 8.3% increase last week. This resilience reflects investor confidence in the ability of Binance to weather the regulatory challenges and legal uncertainties.

Also check out: BNB Coin Price Prediction 2024-2025: Will Binance Coin Price Reach $1000 in 2024?