Nigeria's Securities and Exchange Commission: Binance operates illegally in the country, immediately cease promotion to users
The Securities and Exchange Commission (SEC) of Nigeria issued a statement stating that Binance Nigeria Limited is not registered with the SEC of Nigeria and is not under its regulatory oversight. The SEC deemed the trading activities conducted by Binance Nigeria Limited as illegal operations and urged Binance to cease all forms of promotion to users.
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Nigeria's SEC: Binance Operates Illegally
The Securities and Exchange Commission (SEC) has noted that Binance Nigeria Limited's website is soliciting Nigerian citizens to trade cryptocurrencies on their computer or mobile devices. The commission urges Nigerians to exercise caution when investing in cryptocurrencies, related financial products, and services as the risks are extremely high. Failure of service providers/platforms to register with the commission may result in users losing all their investments. As per this announcement, Binance Nigeria Limited should immediately cease all forms of promotion to users.
SEC stated that it will continue to announce further regulatory actions against similar platforms like Binance and will collaborate with other regulatory bodies in Nigeria to provide additional guidance on this matter.
Updates on Binance Lawsuit
Looking back at the previous lawsuit filed by the CFTC against Binance in March, the lawsuit led to market fluctuations, with the chairman emphasizing Binance's violation of the law in a television interview. This seems to align closely with the developments in the SEC lawsuit. Both are civil lawsuits, and the process may be quite lengthy, especially considering that there have been no developments in the CFTC lawsuit to date.
Review of the CFTC lawsuit: CFTC sues Binance for full interpretation | Binance founder Zhao Changpeng & former legal counsel accused of regulatory violations, seeking permanent trading ban
SEC sues Binance: U.S. Securities and Exchange Commission (SEC) accuses Binance Holdings and Zhao Changpeng of violating securities laws, BNB falls below recent low, CZ responds 4
Regulatory response for Binance in the U.S.: Binance.US transitions to a pure "cryptocurrency" exchange! Has suspended USD deposits, will stop fiat withdrawals on 6/13
Potential crypto legislation: Could cryptocurrencies become commodities? Discussion draft on the digital asset market structure will be held in a hearing next week