Binance has acknowledged the Nigerian government’s lawsuit seeking $81.5bn in damages and unpaid taxes, stating that it is aware of the legal action and will provide updates as necessary.

In response to an email inquiry from The PUNCH, a Binance spokesperson said, “Noting that we have seen your email. We will reach out to you should there be any updates on this.”

The Federal Inland Revenue Service filed the case at the Federal High Court in Abuja on Wednesday under case number FHC/ABJ/CS/1444/2024, naming Binance and two of its executives, Tigran Gambaryan and Nadeem Anjarwalla, as defendants.

The lawsuit alleges that the cryptocurrency exchange violated tax laws, failed to register for tax compliance, and contributed to economic distortions.

The Nigerian government is demanding $79.5bn in damages for alleged economic losses and an additional $2bn in unpaid taxes.

The FIRS is also seeking penalties, including a 10 per cent annual interest rate on outstanding taxes and a 26.75 per cent charge based on the Central Bank of Nigeria’s lending rate until the full amount is settled.

Binance, which ceased naira transactions in March 2024 amid mounting regulatory scrutiny, has faced increasing pressure from Nigerian authorities.

Last year, CBN Governor Olayemi Cardoso claimed that Binance facilitated $26bn in transactions from unidentified sources, an allegation the company previously dismissed as misleading.

Gambaryan, Binance’s Head of Financial Crime Compliance, had criticised the claims, arguing that the figures were misrepresented and that authorities were unfairly blaming the exchange for Nigeria’s economic challenges.

“The $26bn figure they keep pushing as ‘mystery money’ escaping Nigeria is complete nonsense,” he wrote. “This was simply cumulative trade data for Nigerian users on our platform, which was shared with regulators upon request,” he said in a post on X (formerly Twitter), Friday.

The case remains under judicial review, with Binance yet to provide a detailed response to the allegations.