Binance Holdings Ltd, a prominent player in the cryptocurrency realm, has rebuffed claims of engaging in talks with the Nigerian government regarding purported fines amounting to $10 billion.
This stance directly contradicts statements made by Bayo Onanuga, the special adviser on information and strategy to President Bola Tinubu, during an interview with the BBC.
Onanuga, as reported by the BBC, initially asserted that the Nigerian government had levied a hefty fine on Binance with the aim of stabilizing the value of the naira. However, Onanuga later clarified that his remarks had been misconstrued by the media, indicating a divergence from his earlier statement.
According to a Binance official quoted by Peoples Gazette, “We recently discussed ways to resolve issues with Nigeria, but we did not hear any demand for $10 billion.”
The Cayman Islands-based company clarified that it is not entertaining talks with the Nigerian government either to restore its recently cut-off services or release its executives, who are being held over alleged involvement in manipulation leading to the collapse of the naira and subsequent economic repercussions.
“Our aim is to chart a good relationship with the government and the people of Nigeria. We want to see our services restored in Nigeria very soon, but we have no intention of paying fines for personnel or services,” Binance said.
Bayo Onanuga responded to Binance’s position, stating that his earlier statement to the BBC had been misrepresented in the media.
He clarified that he never asserted the company had been informed about the fines or that the $10 billion figure was conclusively determined by Nigerian regulators.
“I said our government may impose heavy fines on Binance for what happened,” Onanuga explained. “I never said Binance had been informed about the fines or that it would definitely be $10 billion.”
“I only said the amount may be imposed, which is because nothing has been finalised yet,” Mr Onanuga said, placing repeated emphasis on the uncertainties around the fines.
Mr Onanuga had accused the cryptocurrency platform of aiding those fixing the Nigerian exchange rate to sabotage the economy. “Binance platform harbours people who fix the exchange rate which quickly affects the Nigerian economy for the time when Nigeria is trying to stabilize the economy,” Mr Onanuga told BBC.
“The platform fixes the exchange rate for the country and it is an illegal rate. The CBN is the only authority that can fix the exchange rate for the country,” he added.
Bayo Onanuga accused Binance of profiting from illicit activities within Nigeria, exacerbating the country’s financial woes. Onanuga further asserted that Binance operates without proper registration or physical presence in Nigeria, purportedly manipulating dollar-naira exchange rates to the detriment of the local currency’s value.
Despite claims of cooperation with Nigerian authorities and the suspension of naira-related transactions, Onanuga warned of dire consequences if decisive action is not taken against Binance to safeguard the nation’s economy.
The situation escalated with the detention of two Binance executives in Abuja, signaling a standoff between the cryptocurrency platform and Nigerian regulators. Meetings between Binance officials and Nigerian authorities reportedly ended in a deadlock as the company refused to comply with certain government demands, further fueling tensions in the ongoing dispute.
The Nigerian government’s pursuit of cryptocurrency giant Binance intensified as officials accused the company of conducting a billion-dollar business without appropriate registrations and documentation.
In response, the government requested extensive data from Binance executives pertaining to transactions involving the Nigerian Naira on the platform over the past seven years. Additionally, authorities demanded the deletion of specific data related to Nigeria from the Binance platform.
However, tensions mounted as Binance executives mounted as Binance executives resisted compliance, insisting on being taken to their respective countries’ embassies before acceding to the government’s demands.
Credit: Arise News
