Binance has announced it will not comply with Nigeria’s digital asset regulations until Tigran Gambaryan is released from custody. This statement follows the introduction of a new regulatory framework by Nigeria's Securities and Exchange Commission (SEC), known as the Accelerated Regulatory Incubation Programme (ARIP).

New Regulatory Guidelines in Nigeria

The SEC's new regulatory framework is designed to integrate cryptocurrency platforms into the country's financial oversight. The ARIP program requires virtual asset service providers (VASPs) to establish offices in Nigeria and adhere to specific regulations. Earlier in 2024, the regulatory body approved two crypto exchanges, Quidax and Busha, under this scheme.

Role of Tigran Gambaryan and Binance's Conditions

In an exclusive interview, a Binance spokesperson outlined two conditions that must be fulfilled before the company considers registering under the SEC's framework. The first condition is the release of Tigran Gambaryan, a former U.S. law enforcement officer detained in Nigeria. The second condition involves resolving disputes with the Nigerian government, which includes allegations of tax evasion and foreign exchange contraventions.

Diplomatic Efforts and Global Concerns

The detention of Gambaryan has become a focal point in diplomatic relations between the U.S. and Nigeria. Binance CEO Richard Teng has criticized the detention as unjust and detrimental to Gambaryan's health. Binance is exploring various avenues, including legal and political efforts, to secure his release. The U.S. government, including Secretary of State Antony J. Blinken, is also involved in advocating for Gambaryan’s release.

The conflict between Binance and Nigeria highlights the complexity of global regulatory environments. While the Nigerian government seeks to regulate cryptocurrency platforms, Binance demands resolution of legal issues, underscoring ongoing tensions in international relations.