Nigeria has filed a landmark lawsuit against Binance, demanding $79.5 billion in economic damages and an additional $2 billion in unpaid taxes, marking one of the largest financial claims ever levied against a cryptocurrency exchange.
According to a report from Reuters, the case was filed in the Federal High Court in Abuja, alleging that Binance’s operations have destabilized Nigeria’s economy, contributed to the naira’s sharp devaluation, and facilitated tax evasion on a massive scale.
The Core of Nigeria’s Case Against Binance
Nigerian authorities claim that Binance, despite operating as an unregistered entity in the country since at least 2019, has played a direct role in currency speculation and capital flight, exacerbating the naira’s depreciation. The Nigerian naira has lost over 70% of its value against the U.S. dollar since 2023, with inflation climbing to 24.48% in January 2025, according to data from the Nigeria National Bureau of Statistics.
The lawsuit also cites Binance’s failure to comply with local tax regulations. The Federal Inland Revenue Service (FIRS) is demanding unpaid corporate income taxes for 2022 and 2023, in addition to penalties including a 10% annual fine on outstanding amounts and a 26.75% interest rate based on the Central Bank of Nigeria’s lending rate.
This lawsuit is the latest in a series of legal and regulatory actions against Binance in Nigeria. In 2024, the Nigerian government detained two Binance executives, Tigran Gambaryan and Nadeem Anjarwalla, amid a broader crackdown on cryptocurrency platforms.
Those executives faced four separate tax evasion charges, including non-payment of value-added tax, company income tax, failure to file tax returns, and allegations of enabling users to evade taxes via its platform. The company has denied these charges and claims to be working with the Nigerian government to resolve any outstanding tax liabilities.
In March 2024, Binance halted all transactions and trading in the naira amid escalating regulatory pressure. Despite this, authorities maintain that the exchange’s past activities have had a lasting impact on Nigeria’s financial system, warranting the $81.5 billion lawsuit.
Bribery Allegations and Political Fallout
The legal battle has taken a dramatic turn following allegations from Binance executive Tigran Gambaryan that Nigerian lawmakers attempted to solicit a $150 million cryptocurrency bribe in exchange for settling the platform’s legal troubles. The Nigerian government has strongly denied these claims, dismissing them as false and defamatory.
On the other hand, Nigerian authorities accuse Binance of attempting to pay a $5 million bribe to secure Gambaryan’s release from detention, a claim the exchange has denied. These conflicting narratives have led to speculation about the true motivations behind the case, with some analysts suggesting that Nigeria’s aggressive legal stance may be part of broader geopolitical and economic maneuvering.
Disclaimer
This article is provided for information only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
