- Two Binance executives remain held by authorities in Nigeria
- Tigran Gambaryan and Nadeem Anjarwalla were detained but not arrested two weeks ago
- Nigeria has demanded extensive user and transaction data from Binance
Nigerian officials have demanded that Binance release customer data as the two executives seemingly arrested last month remain held against their will in the country. Tigran Gambaryan, head of the exchange’s financial-crime compliance division, and Nadeem Anjarwalla, Binance’s regional manager for Africa, have been held in the country ever since arriving there two weeks ago as Nigeria attempts to tackle a growing currency crisis. While denying that the pair are being treated like hostages, officials have demanded that Binance release data on its top Nigerian users, with the implication being that the pair will not be released until they do.
Pair Held in State-run ‘Guest House’
Gambaryan, a respected investigator who previously ranked highly within the Criminal Investigation Division of the Inland Revenue Service, and Anjarwalla arrived in Nigeria on February 25, attended a meeting with government officials, and then returned to their hotels before being told to pack their belongings and move to a guesthouse run by Nigeria’s National Security Agency.
After an attempt to summon new Binance CEO Richard Teng failed, the authorities have taken a different stance: they have asked for detailed information on Binance’s top 100 users and transaction records spanning the past six months. This request is a significant aspect of discussions as Nigeria views Binance as a key factor potentially undermining its efforts to stabilize the national currency, the naira.
Nigeria Worried About Currency Crash
The timing of the request is critical as it aligns with Nigeria’s recent currency devaluation, indicating the government’s focus on monitoring cryptocurrency activities during this period of economic adjustment. Furthermore, Nigeria’s attention on Binance and other cryptocurrency platforms stems from its broader efforts to navigate its most severe economic crisis in thirty years and restore public confidence in the national currency.
President Bola Tinubu’s administration has implemented significant market-oriented reforms to attract foreign investment, including currency devaluation measures. However, this devaluation has contributed to skyrocketing inflation, reaching nearly 30%.
Crypto Platforms Targeted
In this context, cryptocurrency exchanges have emerged as alternative platforms, offering an unofficial pricing mechanism for the naira, with Binance being the largest player in this space. Nigerian authorities have already taken steps to prevent citizens from accessing crypto exchanges by blocking access to cryptocurrency exchanges. Binance has already removed trading support for the naira from its platform.
Despite the ongoing detention and regulatory scrutiny, Binance has emphasized its cooperation with Nigerian authorities to resolve the situation and ensure the executives’ safe return. However, the lack of clarity surrounding their legal status and the duration of their detention has raised concerns among their families and international observers.
