The Nigerian government is escalating its legal battle against Binance, demanding $81.5 billion for tax evasion and economic damage.
Allegations Against Binance
Nigeria’s Federal Inland Revenue Service (FIRS) accuses Binance of failing to pay $2 billion in taxes between 2022 and 2023. The platform is also accused of facilitating currency speculation that affected the naira. An additional $79 billion is demanded for economic damages.
Nigeria’s Crypto Crackdown
Nigeria is tightening cryptocurrency regulations, accusing exchanges of money laundering and tax evasion. Binance has faced multiple charges related to these issues but stated it was cooperating with authorities.
Binance’s Response and Global Implications
Binance denies the charges and claims it has no registered entity in Nigeria. Authorities argue that Binance's 'significant economic presence' holds it liable for taxes. The outcome in Nigeria could influence global cryptocurrency regulation.
The lawsuit's outcome may set a precedent for government handling of cryptocurrency regulation, affecting the future of the digital asset market.
