Abuja – April 7, 2025 – A Federal High Court in Abuja has adjourned the tax evasion trial involving Binance Holdings Limited to April 30, 2025, following an application by the crypto exchange to annul the court’s order allowing substituted service of documents via email.
Binance’s lawyer, Chukwuka Ikwuazom, argued that the Nigerian Federal Inland Revenue Service (FIRS) failed to obtain the court’s leave before serving the documents outside Nigeria, where Binance is registered under Cayman Islands law and has no local office.
“The order for substituted service on Binance is improper and should be set aside,” Ikwuazom told the court, referring to the initial ruling from February 11.
The FIRS has accused Binance of causing severe economic losses to Nigeria and evading taxes amounting to $2 billion. The lawsuit demands that Binance pay $79.5 billion in damages and back taxes for its operations in 2022 and 2023.
Court documents allege Binance has a “significant economic presence” in Nigeria and therefore should be liable for corporate income tax, including a 10% annual penalty on unpaid amounts.
The case has drawn national attention, especially after Nigerian authorities detained two Binance executives in 2024, blaming the platform for exacerbating currency instability through naira-to-crypto trading.
Binance, the world’s largest cryptocurrency exchange, has yet to release an official response, though it has previously stated its willingness to cooperate with Nigerian authorities to address historical tax concerns.
The adjournment grants time for the FIRS to formally respond to Binance’s motion challenging the court’s substituted service order.
The outcome of the case is expected to set a precedent for how Nigeria—and possibly other nations—will regulate global digital financial platforms operating within their economic space.
