The CEO of Binance, Changpeng Zhao, has announced that Binance has formally issued a cease and desist order to the fraudulent organization known as Binance Nigeria Limited.
Sunday, June 18, Zhao announced via Twitter. The Nigerian Securities and Exchange Commission (SEC) issued a circular on June 9 stating that Binance Nigeria Limited is unlawful in the country.
A spokesperson for Binance reportedly stated that the entity mentioned in the circular has no affiliation with the company. The spokesperson noted the company’s intention to seek clarification from the Nigerian SEC and reaffirmed its commitment to cooperating with it moving forward.
Despite Binance’s denial of any connection to Binance Nigeria Limited, as stated in the SEC’s circular, the company is currently being sued by the United States Securities and Exchange Commission. The U.S. SEC has filed 13 allegations against entities affiliated with Binance and Zhao.
Among the allegations are operating an unregistered exchange, broker-dealer, and clearing agency and misrepresenting trading controls.
The U.S. Securities and Exchange Commission stated that Binance and Zhao should have registered as an exchange, broker-dealer, or clearing agency despite earning $11.6 billion from U.S. customers.
Judge Amy Berman Jackson approved an agreement between Binance.US, Binance, and the U.S. SEC on June 17. This agreement dismissed an earlier temporary restraining order that sought to block all Binance.US assets.
In 2017, Binance, accessible in approximately 100 countries, registered its headquarters in George Town, Cayman Islands. It also incorporated a subsidiary in Mahe, Seychelles, in 2019.
