In a significant development, the crypto trading giant Binance has incurred a hefty $10 billion fine from the Federal Government of Nigeria, accused of playing a role in the country’s forex crisis.
Bayo Onanuga, the special adviser to President Bola Tinubu on information and strategy, revealed this in a recent interview with the BBC. According to Onanuga, Binance allegedly engaged in “illegal transactions” in Nigeria, reaping substantial profits while the nation experienced significant financial losses.
Onanuga emphasized that Binance is not registered in Nigeria and lacks a physical presence in the country. He asserted that individuals used the platform to manipulate dollar-naira rates, negatively impacting the value of the local currency.
The presidential aide highlighted that Binance is cooperating with the Nigerian government by providing useful information and has already taken steps, such as suspending naira-related transactions on the platform.
“The platform fixes the exchange rate in Nigeria, which is illegal. The Central Bank of Nigeria is the only authority that can fix the exchange rate for Nigeria,” stated Onanuga.
He added, “Binance harbors a lot of people who fix exchange rates, impacting the country badly at a time when the government is trying to stabilize the economy.”
Onanuga concluded by attributing the significant fall in the Naira’s value, nearly 70% in recent months, to Binance’s influence on foreign exchange rates through currency speculation.
