Binance, the leading cryptocurrency exchange, is facing a hefty $10 billion fine in Nigeria as the government investigates suspected foreign exchange rate manipulation. This follows a recent $4.3 billion settlement with U.S. authorities.

Nigeria’s Crackdown on Binance

In a recent interview with the BBC, special adviser Bayo Onanuga confirmed the $10 billion sanction on Binance as part of Nigeria’s crackdown on the exchange. The government has arrested two company executives who were sent to negotiate with authorities after plans to ban the crypto firm were disclosed.

While the identities of the Binance representatives have not been disclosed, reports suggest that one is American and the other is British. Both negotiators requested to be moved to their respective embassies.

Enforcement agencies have secured a court warrant allowing Nigeria’s government to hold the two persons for up to 12 days.

The Allegations Against Binance

The crackdown on Binance stems from government accusations that the exchange facilitated illicit transactions and failed to account for $26 billion in money flows. Nigeria’s Securities and Exchange Commission (SEC) also noted that Binance operated without a license and did not comply with regulatory requirements.

Impact on Users

Authorities have demanded naira-related transaction data from Binance for the past seven years. P2P trading has been disabled on the platform, and some users have reported difficulties accessing Binance facilities.

One user shared their experience of trading naira for USDT on P2P before their login was revoked. The extent of Nigeria’s clampdown has left many users uncertain about the future of crypto trading in the country.

Other Platforms Affected

Alongside Binance, other crypto-forex trading sites like Coinbase and Kraken also faced a ban in Nigeria. Internet service providers were instructed to block access to these platforms, although Coinbase is pushing back on the decision and conducting internal investigations.

For more updates on the latest news in the cryptocurrency world, stay tuned to Global Crypto News.

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