REGULATION | Binance Fallout with the Nigerian Government Continues to Unfold Amidst Bribery Accusations

Beyond the bribery scandal, Gambaryan also refuted the Central Bank of Nigeria’s (CBN) assertion that Binance facilitated the outflow of $26 billion from the country. He argued that the figure was deliberately misrepresented.

CryptoGuru··5 min read

The tensions between Binance and Nigerian authorities have reached a boiling point. Tigran Gambaryan, Binance’s Head of Financial Crime Compliance, has publicly accused Nigerian lawmakers of demanding a staggering $150 million bribe in cryptocurrency to prevent his arrest and prosecution.

His claims, shared in a statement on X (formerly Twitter), have reignited the controversy surrounding Nigeria’s crackdown on the global crypto exchange.

A Bribery Scandal Unfolds

Gambaryan directly named three Nigerian lawmakers:

  • Philip Agbese, Deputy Spokesperson for the House of Representatives
  • Ginger Obinna Onwusibe, Chair of the House Committee on Anti-Corruption, and
  • Peter Akpanke, representative for Obanliku/Obudu/Bekwara

as the individuals behind the alleged extortion attempt.

According to his account, the meeting took place on January 5, 2024, following discussions with Nigeria’s Department of State Services (DSS), which allegedly pressured Binance to comply with the legislators’ demands.

 

In a shocking revelation, Gambaryan described the setup as an orchestrated charade:

“They set up fake cameras and media to make the meeting appear official, but the cameras weren’t even plugged in. As you may already know, this ended with them asking for a $150 million bribe, paid in cryptocurrency into their personal wallets.

A Mickey Mouse operation at its best.”

 

At the time of writing, none of the accused lawmakers have publicly addressed the allegations. The Nigerian government has also remained silent, further fueling speculation about the integrity of the country’s financial oversight mechanisms.

 

Debunking Nigeria’s Binance Allegations

Beyond the bribery scandal, Gambaryan also refuted the Central Bank of Nigeria’s (CBN) assertion that Binance facilitated the outflow of $26 billion from the country. He argued that the figure was deliberately misrepresented, stating:

“The $26bn figure they kept pushing publicly as some mystery money escaping Nigeria is complete nonsense. This was simply cumulative trade data for Nigerians using the platform. If you trade $100 a hundred times, that’s $10,000 in trade volume, but in reality, you only used $100. Another example of them twisting numbers to cover up their shoddy investigation.”


The dispute traces back to February 2024, when CBN Governor, Olayemi Cardoso, accused Binance of enabling illicit financial flows totaling $26 billion. Cardoso justified the regulatory clampdown as part of a broader effort to curb financial malpractice and stabilize Nigeria’s economy.


However, Gambaryan dismissed these claims, arguing that Nigerian authorities used Binance as a scapegoat for the country’s economic struggles, particularly the devaluation of the naira.

“They all knew that the Naira’s devaluation was a direct result of Tinubu’s monetary policy, which depegged the Naira from the dollar,” he said.

“Instead of acknowledging this, they used Binance as a convenient villain.”

Binance’s Exit from Nigeria and the Aftermath

After months of mounting pressure, Binance officially withdrew from the Nigerian market in March 2024. The government had long expressed concerns over cryptocurrency platforms allegedly facilitating illicit transactions and contributing to economic instability.


The situation escalated in February 2024, when Gambaryan and his colleague, British-Kenyan dual national, Nadeem Anjarwalla, were detained upon arriving in Nigeria for discussions with government officials. Anjarwalla later escaped custody in March 2024, while Gambaryan remained incarcerated until his release in October 2024 following diplomatic interventions from the United States.


Binance’s tumultuous departure has left a void in Nigeria’s crypto landscape, forcing traders and investors to seek alternative platforms. Meanwhile, the government has tightened control over digital financial transactions, signaling a more aggressive regulatory approach.

 

A Broader Regulatory Crackdown?

Nigeria’s stance against Binance is part of a broader trend of intensified scrutiny on foreign tech companies. The country has imposed hefty fines on major corporations, including a $220 million penalty on Meta (formerly Facebook) over alleged data privacy violations. Additionally, multiple international firms operating in Nigeria have faced regulatory hurdles, raising concerns about the country’s unpredictable business environment.

Critics argue that Nigeria’s regulatory framework lacks consistency, often oscillating between aggressive enforcement and institutional uncertainty. While officials claim these measures are necessary to uphold financial integrity, the erratic nature of enforcement raises questions about ulterior motives.

Gambaryan’s latest revelations have further complicated the already strained relationship between Binance and Nigerian regulators. Whether the Nigerian government chooses to address the allegations or remain silent, the global spotlight on its handling of crypto regulation is unlikely to fade anytime soon.

As the battle between Binance and Nigerian authorities continues to unfold, the implications extend beyond a single company. This case underscores the broader challenges of regulating digital assets in emerging markets, where crypto adoption is soaring but regulatory clarity remains elusive.

For crypto enthusiasts, investors, and industry leaders, one thing is clear – this saga is far from over.

 

 

 

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