The Central Bank of Nigeria (CBN) wrapped up its testimony against Binance on Friday, accusing the cryptocurrency platform of conducting “hidden operations” in Nigeria without proper authorization.
Dr. Olubukola Akinwunmi, Director of Banking Supervision at the CBN. Presented his final statements before Justice Emeka Nwite at the Federal High Court in Abuja.
The case, initiated by the Economic and Financial Crimes Commission (EFCC) in 2024, alleges that Binance and two former executives, Tigran Gambaryan and Nadeem Anjarwalla, conspired to conceal the origins of $35.4 million in financial proceeds from unlawful activities in Nigeria.
Authorities claim these actions violate Section 21(a) and are punishable under Section 18(3) of the Money Laundering (Prevention and Prohibition) Act, 2022. Binance has denied all allegations.
Key Testimony Highlights
During cross-examination led by Binance’s lawyer, Tonye Krukrubo (SAN). Akinwunmi acknowledged that Binance was accessible, marketed, and available to Nigerians during his review.
When asked if there was a specific law prohibiting cryptocurrency trading in Nigeria at the time. He stated, “I am aware that cryptocurrency trading and its usage were restricted at some point in Nigeria.”
He also confirmed that cryptocurrency is a relatively new area of development. Saying, “I am aware that development in cryptocurrency has been around for upwards of ten years.”
Krukrubo further questioned whether Binance actively sought to hide its cryptocurrency trading services in Nigeria. Akinwunmi responded that users of Binance’s platform concealed their activities by using pseudonyms, which obscured their interactions with the Nigerian banking system. However, he declined to confirm whether Binance deliberately intended to hide its operations.
“There were times when there was free access to its platform. And there were also times when it was not accessible except through covert channels,” Akinwunmi added.
He also stated that he could not confirm whether any official order existed at the time, issued by the Minister of Finance and published in Nigeria’s official gazette, designating cryptocurrency as foreign exchange.
After his testimony, the court discharged Akinwunmi and scheduled May 15 for the continuation of the trial.
Background
In early 2024, Nigeria’s National Security Adviser (NSA) classified cryptocurrency trading as a national security concern. Following this, the CBN directed four fintech companies—OPay, Moniepoint, Paga, and PalmPay—to block accounts involved in cryptocurrency transactions and report such activities to law enforcement agencies.
