The protracted conflict between Nigeria and Binance, which has been ongoing since February this year, doesn't appear to be reaching a resolution. In a new development, Binance has tied conditions for its registration with Nigerian authorities with outstanding legal issues and the release of its jailed employee, Tigran Gambaryan.
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Speaking with Nairametrics, a Binance spokesperson said the company's outstanding legal issues with the Nigerian government must be resolved before it applies for registration under the Nigerian Securities and Exchange Commission’s (SEC) expedited onboarding program called the Accelerated Regulatory Incubation Programme (ARIP). The Nigerian government has charged Binance with foreign exchange infractions, tax evasion, and money laundering.
Binance also demands Gambaryan’s release before the exchange considers complying with the country Commission’s new framework.
In the words of the unidentified Binance spokesperson, “We are pleased that Nigeria is making progress in the development of its digital assets regime. We hope that someday soon, once Tigran has been freed and our issues are settled, we may seek registration.”
Binance's stance comes after the SEC's approval in principle of two local digital asset exchanges, Quidax and Busha Digital. This greenlighting is part of the Nigerian regulator’s efforts to structure and supervise the expanding digital asset market and its future.
Despite Binance’s reluctance to apply for a Nigerian license, the crypto exchange giant remains a popular choice for many Nigerian crypto users. Despite being unregulated, this preference is why Binance is less likely to secure a license, according to an unidentified SEC official. While the Commission expects Binance to apply for registration soon, it advises crypto users in the country against unregulated exchanges.
However, an anonymous source close to the matter suggested that Binance's reluctance is also due to the belief that ARIP was a hastily formulated framework following Binance executives’ arrest and lacks the National Assembly's support.
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