Nigeria Sues Binance for $79.5 Billion in Losses, $2 Billion Tax

Nigeria has filed a lawsuit against cryptocurrency exchange Binance, seeking $79.5 billion for alleged economic losses and $2 billion in unpaid taxes.

The case, filed at the Federal High Court in Abuja, accuses Binance of tax evasion, foreign exchange violations, and contributing to the instability of the local currency, the naira.

Nigeria Sues Binance for $79.5 Billion in Losses, $2 Billion Tax

According to court documents, Nigeria’s Federal Inland Revenue Service (FIRS) claims Binance failed to register for tax compliance while operating in the country. Authorities argue that the exchange has a “significant economic presence” in Nigeria and is liable for corporate income tax under the Companies Income Tax Act and the Federal Inland Revenue Service Act.

The FIRS is demanding tax payments for 2022 and 2023, along with a 10% penalty on unpaid amounts. Additionally, the agency seeks a 26.75% interest rate on overdue taxes, based on the Central Bank of Nigeria’s lending rate. The lawsuit also accuses Binance of violating financial regulations by facilitating tax evasion through its platform.

The filing states Binance could be held responsible for financial losses linked to currency speculation and unauthorized transactions. Authorities claim the platform enabled illicit financial activities that worsened the depreciation of the naira.

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

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