Binance CEO Demands Release Of Employee Detained In Nigeria
The Chief Executive Officer of the cryptocurrency trading platform Binance, Richard Teng, has called for the release of one of his employees, Tigran Gambaryan, who is currently standing trial in Nigeria.
The Nigerian government explained that the Binance executives were arrested and detained after an investigation revealed money laundering and terrorism financing activities conducted on the Binance currency exchange platform.
In a statement obtained by our correspondent on Tuesday, Teng stated that the government had no valid reason to detain an innocent employee to advance discussions on outstanding issues.
He said, “One reason the Nigerian government has cited for continuing to hold Tigran is that ‘Binance is operating virtually. The only thing we have to hold on to is this defendant.’ This statement is far from the truth. There is no need to imprison an innocent employee to address any allegations against Binance.”
“We have resolved issues in countries around the world, including the US, Thailand, and most recently in Brazil and India, in a reasonable, collaborative, and amicable manner with governments. All of this was done without threat or harm inflicted on any of our employees. There is no valid reason to hold an innocent employee to further discussions on outstanding issues.”
Teng also denied that his company was responsible for the currency decline in Nigeria.
He said, “Another claim made by the Nigerian government is that Binance was responsible for its currency decline. To anyone paying attention, this is not supported by facts.
Between 2021 and the end of 2022, the Naira traded within a relatively narrow range of USD1:380 to USD1:440. We offered P2P services as a value-added service for our users wishing to gain exposure to crypto during that period.”
“The end of the Naira’s currency peg by the Government in June 2023 caused the biggest fall in the Naira’s history, according to experts. It went from USD1:460 in June 2023 to USD1:900 by the end of 2023. The downward trend has continued since. The Naira traded at a recent low of USD1:1,660 on 31 July 2024, representing a 50% decline from the start of 2024.”
“This downward trend persisted despite Binance ceasing to offer P2P services in the country in February 2024. As economists have more elegantly explained, the movement of a country’s currency is attributable to various macroeconomic factors.”
Teng further stated that contrary to the government’s claims, Nigeria was never a significant market for his company.
He said, “It is worth noting that Nigeria has never been a major market for Binance. The government has claimed that we made USD$26bn in revenue from Nigeria in 2023. That is not the case. The $21.6bn figure is the total transaction volume from 2023.”
“To clarify transaction volume: if a person were to take $1,000 and trade it 1,000 times, that would represent $1m in transaction volume. Our actual revenue is based on charging a small percentage transaction fee, and we are proud to offer our users some of the lowest transaction fees of any exchange globally.”
Teng also lamented that the health conditions of his employees had deteriorated, accusing the government of refusing to provide adequate medical care.
He said, “Tigran’s physical and mental conditions have deteriorated rapidly, with his situation becoming more dire than ever. He is in severe pain and unable to walk due to a herniated disc. Despite his condition, the Nigerian government has refused adequate medical care, including basic needs such as access to a wheelchair. Furthermore, they are refusing to provide access to his legal counsel, despite a trial commencing on 2 September, which we have been informed is unconstitutional in Nigeria.”
