Binance vs. Nigeria: The $5 Million Offer That Went Up in Smoke! đŸ’žđŸ”„

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So, Nigeria, in a move that can only be described as “not impressed,” turned down a $5 million offer from Binance. You know, the crypto giant trying to smooth things over after their executive, Tigran Gambaryan, got himself into a bit of a pickle. This was back in August 2024, while Binance was trying to negotiate with the Nigerian authorities. Spoiler alert: it didn’t go well. 😬

Officials looked at that $5 million like it was a coupon for a free coffee. “Too small!” they said, waving it off like a pesky fly. They wanted full tax compliance instead. Because, of course, who wouldn’t want to deal with taxes? It’s the adult version of cleaning your room. đŸ§č

Now, Gambaryan, the head honcho of financial crimes compliance, got himself arrested on February 26, 2024, along with the African regional manager, Nadeem Anjarwalla. Talk about a bad day at the office! Nigeria accused Binance of running illegal operations and helping people dodge financial laws. I mean, come on, it’s like they were playing Monopoly but forgot to follow the rules! đŸŽČ

In a letter dated February 24, Binance admitted it had been operating in Nigeria for six years without proper registration. Oops! They revealed they had 386,256 active Nigerian users in 2023 and made a whopping $35.4 million from $21.6 billion in trades. After Gambaryan’s little vacation in jail, Nigeria demanded four years’ worth of taxes plus 10% annual interest. Because why not? It’s not like they have anything better to do! 📈

At a meeting in August 2024, Binance estimated its total Nigerian revenue over four years at $140 million and calculated its tax liability at around $7 million. They offered $5 million upfront, but only if Nigeria released Gambaryan. Nigerian officials were like, “Nice try, but we’re not falling for that one!” One official even said, “When you calculate the volume of trade and losses to our economy, we should be asking for more.” Talk about a negotiation tactic! đŸ’Ș

Things took a turn for the worse when a Binance lawyer suggested Gambaryan was being held hostage. Really? That’s the angle you’re going with? This didn’t sit well with Nigerian authorities, who promptly ended negotiations. I mean, who wouldn’t be angry at that? It’s like saying, “Hey, I’m going to take your lunch money, but I’m just kidding!” 🍔

Binance had also promised to provide a list of its top 100 Nigerian users and hire some firms to figure out its tax debt. But since no deal was reached, Nigeria was like, “Thanks, but no thanks.” Now, Binance is facing multiple lawsuits. The Economic and Financial Crimes Commission (EFCC) is charging it with money laundering, while the Federal Inland Revenue Service (FIRS) is suing for $2.001 billion in unpaid taxes and over $79 billion in damages. Good luck with that! 🎉

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2025-03-17 21:35