Nigeria remains open to cryptocurrency companies despite legal actions against Binance and new regulatory policies.
Binance Lawsuit
Nigeria filed an $81.5 billion lawsuit against Binance, claiming the exchange harmed the naira and owes $2 billion in taxes. Information Minister Mohammed Idris stated this reflects efforts to strengthen regulations, not inhibit business.
Crypto Regulation Reform in Nigeria
In December 2024, the Nigerian SEC revised crypto regulations, tightening laws on marketing and advertising. The new law requires digital asset providers to obtain permission for third-party marketing efforts.
Nigeria's Crypto Economy
According to Chainalysis, Nigeria ranks second globally in crypto adoption and received $59 billion in cryptocurrencies between July 2023 and June 2024. Nonetheless, taxing crypto transactions may fall short of government revenue goals as much trading occurs outside centralized exchanges.
Nigeria seeks a balance between fostering crypto innovation and regulation. Despite challenges and litigation, the country remains a significant player in the global crypto market.
