Nigerian Court Denies Bail To Binance Executive, Crypto Industry Concerns Rise

By: Eva Baxter

A Nigerian High Court denied bail to Binance executive Tigran Gambaryan, citing concerns that he might flee the country.

Gambaryan, held by the Nigerian government since February, was seeking bail on the grounds of completing his public service and fighting crime. However, the prosecution's lawyer opposed the application, noting Gambaryan's recent efforts to obtain a new passport under dubious circumstances and his lack of substantial ties in Nigeria. The judge agreed with the prosecution, emphasizing the severity of the offense in the bail decision.

The situation is seen as a potential damper on the growth of the crypto industry in Nigeria. According to Adebayo Juwon, co-founder of Finna Protocol, this might discourage Web3 companies from entering Nigeria, seeing it as hostile to new technologies. Conversely, Oladotun Wilfred, CMO of Flincap, believes any reputational damage can be repaired, and that Nigeria will continue to be a major user and adopter of cryptocurrencies and blockchain technologies.

Additionally, the ruling allows that the Nigerian Federal Inland Revenue Service (FIRS) tax evasion charges against Binance can be served through Gambaryan. This development further complicates the situation for Binance in Nigeria.