As a researcher with years of experience in the ever-evolving digital asset market, I find myself both intrigued and disheartened by the current standoff between Binance and Nigeria’s regulatory body. The detention of Tigran Gambaryan, a key executive at Binance, has become a significant roadblock in the path towards regulatory compliance for one of the world’s leading cryptocurrency exchanges.
As a researcher, I am expressing that Binance will not entertain compliance with Nigeria’s digital asset regulations until the detention of their executive, Mr. Tigran Gambaryan, is resolved and he is freed from custody.
In a conversation with Nairametrics, a Binance representative explained that Gambaryan’s release and resolving allegations of tax evasion, money laundering, and foreign exchange violations with the Nigerian government are the two prerequisites for Binance to even think about registering under the supervision of Nigeria’s Securities and Exchange Commission.
It’s great to see Nigeria advancing in establishing its digital asset system. We eagerly anticipate a time when Tigran is released and our disputes are resolved, at which point we might consider applying for registration.
Binance’s position arises as Nigeria seeks to impose structure and supervision over its expanding digital asset market. Recently, Nigerian authorities have revised their regulations concerning Digital Asset Issuance, Offering Platforms, Exchange, and Custody, in June. They also launched a special compliance program called the Accelerated Regulatory Incubation Programme.
ARIP intends to bring established Virtual Asset Service Providers into the regulatory system by providing “Provisional Approval” before granting full licenses. Under the new regulations, providers such as Binance must establish a physical presence in Nigeria to fall under the supervision of the Securities and Exchange Commission (SEC).
Last month, the SEC greenlighted two crypto exchanges, Quidax and Busha under the new scheme, but Binance appears reluctant.
A representative from the SEC noted that even with banking transfer limitations, many Nigerians continue to utilize Binance. As a result, it’s not planning to register because it’s already in operation.
Nevertheless, an insider at the SEC emphasized that the trading platform will need to register eventually, mirroring statements made by SEC Director Abdulkadir Abbas. He underscored that all digital currency platforms are required to adhere to the ARIP framework to legally function.
A source with knowledge of the situation suggests that Binance feels the ARIP framework was hastily assembled following the arrest of its executives, and it appears to lack support from the National Assembly.
Gambaryan’s detention
Two key Binance team members, specifically Gambaryan who leads financial crime compliance, and Nadeem Anjarwalla, were apprehended in Nigeria on accusations of money laundering and tax avoidance. The arrest took place during their trip to discuss Binance’s business dealings with Nigerian government officials concerning the company’s activities within the country.
In a turn of events, Anjarwalla successfully eluded capture and sought refuge in Kenya, resulting in increased restrictions being implemented against Gambaryan. The tax evasion allegations against Gambaryan were dismissed, however, he continues to be held in Kuje prison due to money laundering allegations.
During his period, Gambaryan experienced several health problems, one of which was a herniated disk that required him to use crutches when appearing in court. It is also said that he was denied a wheelchair during this time. Among other difficulties, he has been combating Pneumonia, Malaria, and Tonsillitis, with medical documents indicating the need for surgery.
It was earlier reported by crypto.news that certain officials from the U.S. administration have held confidential discussions with various Nigerian government leaders, including the President himself, urging for the liberation of Gambaryan due to the extended imprisonment causing tension between the U.S. and Nigeria.
The process unfolded in response to appeals for the executive’s release made by members of Gambrayan’s family, Binance CEO Richard Teng, as well as several American diplomats due to medical concerns.
Read More
- BODEN PREDICTION. BODEN cryptocurrency
- GHST PREDICTION. GHST cryptocurrency
- BETA PREDICTION. BETA cryptocurrency
- STRD PREDICTION. STRD cryptocurrency
- Mango Markets Exploiter Found Guilty Of Fraud And Manipulation
- GBP EUR PREDICTION
- MATIC PREDICTION. MATIC cryptocurrency
- LOOKS PREDICTION. LOOKS cryptocurrency
- BRN/USD
- TNSR PREDICTION. TNSR cryptocurrency
2024-09-19 11:14