Nigeria has stepped up actions against Binance, demanding $79.5 billion in damages and $2 billion in taxes while tightening crypto regulations.
Nigeria Seeks Billions in Binance Lawsuit
Nigeria's Federal Inland Revenue Service (FIRS) has filed a lawsuit against Binance, demanding $79.5 billion in economic damages. Authorities claim the exchange's operations have severely affected the local economy. They also seek $2 billion in back taxes for 2022 and 2023.
Crypto Regulation Tightens Amid Economic Struggles
The Nigerian government is revising cryptocurrency regulations to boost tax revenue. Besides targeting Binance, lawmakers are considering taxing digital asset transactions on regulated platforms, and if passed, the law will take effect in early 2025.
SEC Expands Oversight to Licensed Crypto Firms
The Nigerian SEC is increasing regulatory control over crypto exchanges, having issued its first official license to Quidax in August 2024. It also announced plans to enforce actions against unregulated platforms.
The lawsuit against Binance marks a turning point for Nigeria's crypto industry. If successful, it will set a precedent for taxation and compliance in the digital asset space.
