Nigeria Sues Crypto Exchange Binance for$ 81.5 Billion Following Hostage Crisis: News

Nigeria is suing cryptocurrency exchange Coinbase for$ 81.5 billion, alleging the agency’s activities have hobbled its struggling economy, Reuters reported Wednesday. &nbsp,

The Nigerian government’s professionals are seeking to convince Binance to give$ 79.5 billion for allegedly kneecapping their government’s business and tanking its standard coin, the pesos, according to court documents reviewed by Reuters.

They are also aiming to secure$ 2 billion in back taxes the firm allegedly owes Nigerian authorities, the publication reported.

The latest legal conflict between Binance and the Nigerian government, most notably the incarceration of a Binance administrative for much of 2024 in a polarizing hostage situation.

Over the past few years, the crypto exchange has become a well-liked option to Nigeria’s greatly troubled economic system. Nigerian authorities have criticized Binance for its financial problems, blaming it with money laundering and tax evasion fees. &nbsp,

Binance rises as the rupees falls&nbsp,

According to the Nigerian government, Binance has been running as an unregulated company in Nigeria since at least 2019, providing services to locals who frequently exchange their pesos for stablecoins and another cryptocurrencies. &nbsp,

However, the business halted all naira-denominated buying next year, following a assault on the crypto industry in Nigeria. &nbsp, Nigerian authorities allege the service offered by the change, and others like it, have led to the weakening of the Naira.

According to research firm Markets Forces Africa information, the rupees has fallen more than 70 % against the dollar since 2023. Meanwhile, Nigeria’s annual inflation rate stood at 24.48 % in January, according to the Nigeria National Bureau of Statistics ‘ data.

Decrypt’s request for comment on the petition was not immediately responded to by Binance or the Nigerian government. &nbsp, &nbsp, &nbsp,

Blockchain directs legitimate landmines&nbsp, &nbsp,

In Nigeria, over the past few years, Binance has encountered more legitimate problems. In 2024, the change was hit with four income avoidance charges—all of which it has disputed.

Individually, Binance and some of its employees filed money-laundering allegations in Nigeria the same year. The complaints led to the arrest and months-long prison of one of the company’s most important managers, Tigran Gambaryan, who finally secured his transfer from a Nigerian jail last fall. &nbsp,

Despite Gambaryan’s transfer, Binance also faces cash fraud charges brought against it by Nigeria’s anti-corruption company. Next week, the business will go on trial to refute the agency’s claims that it facilitated the laundering of more than$ 35 million through its activities in Nigeria.