Binance, one of the world’s largest cryptocurrency exchanges, has found itself embroiled in legal troubles on multiple fronts.
On Sunday, June 18, Binance CEO Changpeng Zhao took to Twitter to announce that the company had issued a cease and desist notice to an entity known as Binance Nigeria Limited, which was deemed fraudulent.
The Nigerian Securities and Exchange Commission (SEC) had previously released a circular on June 9, declaring the illegality of Binance Nigeria Limited’s operations within the country. In response to the SEC’s claims, a spokesperson from Binance stated that the mentioned entity was not affiliated with the company. They further expressed Binance’s commitment to seeking clarity from the Nigerian SEC and cooperating with them on the next steps.
However, Binance’s legal challenges extend beyond Nigeria. The company is currently facing a lawsuit filed by the United States Securities and Exchange Commission (SEC). The U.S. SEC has levied 13 charges against Binance entities and CEO Changpeng Zhao. These legal actions have added to the ongoing difficulties faced by the cryptocurrency exchange.
In recent times, Binance has made headlines for its decision to exit several countries, including the Netherlands, Cyprus, Canada, and Australia. These exits are seen as a response to regulatory pressures and heightened scrutiny from authorities in different jurisdictions.