Nigeria maintains a crypto-friendly stance despite legal conflicts with Binance, emphasizing necessary regulatory actions to uphold financial standards. Minister Mohammed Idris underscored that these measures are intended to strengthen laws, not hinder operations. The country seeks to develop a compliant crypto industry while Binance ceases operations in Nigeria amid legal scrutiny.
The Nigerian government has reaffirmed its openness to the cryptocurrency sector, despite experiencing legal challenges with Binance, the world’s largest exchange. The authorities view these conflicts as necessary steps to enhance the regulatory framework around cryptocurrency in the nation.
In an interview with Semafor, Nigeria’s Minister of Information, Mohammed Idris, articulated that the country remains supportive of digital currencies even with ongoing lawsuits against Binance. Since 2024, the Nigerian government has initiated actions against Binance for various infringements, including a demand for $10 billion in compensation over alleged foreign exchange manipulation that led to a significant devaluation of the Naira.
In February 2025, the government filed another lawsuit against Binance, seeking $79.5 million due to economic damages purportedly caused by its unregistered operations in Nigeria. Officials claim that Binance processed transactions exceeding $26.5 billion in Nigeria, despite not being registered, which has raised concerns about facilitating illegal activities like money laundering.
Minister Idris clarified that the regulatory actions against Binance aim to protect the integrity of the nation’s financial system. He stated:
“This is part of the effort to strengthen our laws, not to cripple anybody. We are ensuring that no one comes and operates without regulation.”
He added that addressing illicit financial flows is not solely a national concern but a global imperative, underscoring the necessity for credible frameworks for financial transactions.
Consequently, Binance has ceased its operations in Nigeria, terminating transactions involving the Naira. Nonetheless, the Nigerian government remains committed to fostering a compliant and viable cryptocurrency industry that adheres to operational and regulatory guidelines.
Despite the turbulent landscape, the broader cryptocurrency market has shown resilience, totaling a value of $2.72 trillion and a slight gain of 0.88% over the past week. The market is predominantly led by Bitcoin, holding 60.5% dominance, followed by Ethereum and other altcoins.
The Nigerian government continues to navigate the complexities of its relationship with the cryptocurrency sector, balancing regulatory actions and openness to innovation. Legal battles with Binance highlight the government’s commitment to uphold financial integrity while fostering a compliant crypto environment. As the global crypto market experiences fluctuations, Nigeria’s stance remains focused on strengthening its financial regulations to deter illicit activities.
Original Source: bitcoinist.com
