A Nigerian court will commence a trial against cryptocurrency exchange Binance over tax evasion charges on October 11, as announced by the judge on Friday. Binance faces four charges, including failure to register with Nigeria’s Federal Inland Revenue Service for tax purposes.
At a hearing on Friday, Binance representative Ayodele Omotilewa pleaded not guilty to the charges before Judge Emeka Nwite, urging the dismissal of the case. Omotilewa argued that the charges lack substance, referencing the June dismissal of similar charges against Binance executives Tigran Gambaryan and Nadeem Anjarwalla. While both were cleared of tax evasion charges, they still face money laundering charges, which they deny.
Judge Nwite has adjourned the case until October to allow further review and preparation by both the defense and prosecution.
Nigeria has attributed some of its economic challenges to Binance, especially as cryptocurrency trading platforms have become popular for trading the Nigerian Naira amidst the country’s dollar shortages and currency depreciation. The Central Bank of Nigeria (CBN) has directed fintech companies to monitor and report accounts involved in cryptocurrency transactions to curb these activities.
A CBN official recently testified that only banks and authorized financial institutions should handle transactions related to Binance.
This trial is part of broader efforts by Nigerian authorities to regulate cryptocurrency activities and address economic issues related to digital currencies.
