Official from Nigeria confirms the probe into Binance
The Office of the National Security Adviser (ONSA) of Nigeria is investigating Binance, a global cryptocurrency exchange, over multiple serious allegations. These allegations include tax evasion, money laundering to the tune of $35.4 million, and economic sabotage valued at $81 billion. Additionally, Nigerian officials allege that Binance’s unlicensed operations have facilitated terrorism and kidnapping financing, worsening insecurity in the country.
The investigation, an inter-agency operation, was confirmed by the ONSA and is being coordinated by its head of strategic communications, Zakari Mijinyawa. Binance officials were arrested when they came into Nigeria on the government's invitation, as confirmed by Bayo Onanuga to the BBC.
The Nigerian government accuses Binance's actions of directly affecting the Nigerian economy. Binance's move to set a price cap on the trades on its platform raised questions about why the exchange was meddling in trading activities. Last week, Binance placed restrictions on purchasing USDT using Nigeria's currency, which further fueled concerns.
The investigation is ongoing, with no further details provided as of the report. Zakari Mijinyawa declined to provide further information on the investigation. Meanwhile, the Nigerian Securities and Exchange Commission (SEC) has been working to regulate stablecoins and digital assets more formally following the crackdown on Binance in 2024, aiming to establish Nigeria as a regulated hub for digital finance.
It is important to note that the investigation does not involve any other cryptocurrency exchanges, as stated in the report. The news about the investigation was reported by Nigerian news outlet Premium Times. However, a report by The Peoples Gazette called Bayo Onanuga's $10 billion claim a lie, citing a Binance official.
Binance confirmed that its website and other major crypto exchanges were not accessible to Nigerian users, as stated in an email to its users. The report was published by Nigerian news outlet Premium Times. The investigation remains ongoing with legal proceedings delayed or unsettled as of mid-2025.
This investigation is distinct from but related to broader international actions involving Binance accounts. U.S. authorities recently seized over $7 million in cryptocurrency connected to Nigerian and Russian fraudsters using Binance to launder proceeds from a $97 million investment fraud scheme involving fake oil and gas storage deals. However, this U.S.-led seizure is about specific scammers using Binance accounts, not a direct indictment of Binance itself.
Sources: 1. Binance: U.S. authorities seize $7 million in cryptocurrency connected to Nigerian and Russian fraudsters 2. Nigeria Investigates Binance Over Alleged Tax Evasion, Money Laundering, and Economic Sabotage 3. Binance Faces Probe by Nigerian Government Over Alleged Money Laundering and Economic Sabotage 4. Binance Faces Probe by Nigerian Government Over Alleged Money Laundering and Economic Sabotage 5. Nigeria's SEC Wants to Establish Nigeria as a Regulated Hub for Digital Finance
- The global cryptocurrency exchange, Binance, is under investigation by the Office of the National Security Adviser (ONSA) of Nigeria for allegations which include tax evasion, money laundering, and economic sabotage, among other serious charges.
- In a coordinated inter-agency operation, Binance officials were arrested upon their arrival in Nigeria, a move confirmed by Bayo Onanuga to the BBC.
- binance's unlicensed operations in Nigeria have raised concerns regarding their impact on the Nigerian economy, particularly with regards to the exchange meddling in trading activities.
- While the investigation into Binance is currently ongoing, the Nigerian Securities and Exchange Commission (SEC) has been working to establish Nigeria as a regulated hub for digital finance following the crackdown on Binance in 2024.
- Despite various reports and allegations, it is important to note that the investigation does not involve any other cryptocurrency exchanges.
- Meanwhile, Binance confirmed that its website and other major crypto exchanges were not accessible to Nigerian users, as stated in an email to its users. This news was reported by Nigerian news outlet Premium Times. The investigation remains ongoing with legal proceedings unsettled as of mid-2025.
