The conflict that emerged in Nigeria regarding the world’s biggest crypto exchange, Binance, is getting intense. Recent reports suggest that Nigerian authorities are pressing Binance for information on its top 100 users in the country. However, they also seek all transaction history from the exchange for the past six months.
Nigeria takes position against Binance
As per the report, the Nigerian request comes in as a part of negotiations with Binance over the detention of the exchange’s two senior executives. The custody eventually extends into the third week. It added that these executives’ phones and passports were seized too.
It is important to note that Nigeria’s national security adviser had asked Binance to look into any outstanding tax liabilities. Meanwhile, the crypto exchange earlier removed the naira for trading from its website in response to the crackdown.
The report mentioned that the Nigerian authorities are focusing on crypto linked websites. They aim to address its economic crisis and restore confidence in the national currency. Binance in Nigeria is seen as a marketplace for controlling an unofficial price for the Nigerian currency.
This is not the first that Binance has faced such legal complications in a country or region. Earlier, the US Securities and Exchange Commission (SEC) went after the exchange. In a crucial court hearing, the commission defended its authority to regulate certain cryptos against Binance.
The world’s largest crypto exchange urged Judge Amy Berman Jackson to dismiss the SEC’s fraud and rule-breaking lawsuit. However, the exchange went on to settle its case with DOJ and CFTC for around $4.3 billion.
What’s happening?
As we talk about the two Binance executives that the Nigerian authority has held in have not been charged with an offense. Their detention period was initially set for 14 days, which ended on Tuesday. A court hearing which was supposed to happen on Tuesday has been postponed to Wednesday.
According to Nigeria’s central bank governor, $26 billion had passed through Binance within the past year. The crypto exchange faces the accusation of hijacking the central bank’s role as the exchange rate arbiter.
However, there is speculation in the air of a potential $10 billion fine. It is seen as a starting point in negotiations, as a form of retribution for economic impacts.
This comes in when the crypto market is rejoicing the bullish sentiments. Bitcoin on Wednesday went on to hit the all time high of $73,637.
