Binance CEO says ‘Binance Nigeria Limited’ is a ‘scam entity’

Binance CEO says ‘Binance Nigeria Limited’ is a ‘scam entity’

Binance, the world’s largest cryptocurrency exchange, on Sunday, described ‘Binance Nigeria Limited’ as a ‘scammer entity’.

Changpeng Zhao, founder and chief executive officer, disclosed this via his verified Twitter handle on Sunday.

“Binance has issued cease and desist notice to the scammer entity “Binance Nigeria Limited”. Don’t believe everything you read in the news,” his tweet read.

The Nigeria Securities and Exchange Commission (SEC Nigeria) had earlier in the month said the operation of Binance Nigeria Limited in the country is illegal.

The commission said Binance Nigeria Limited is neither registered nor regulated by the commission, and its operations in Nigeria are illegal.

It noted that any member of the investing public dealing with the entity is doing so at his/her own risk.

“The attention of the Securities and Exchange Commission (the Commission) has been drawn to the website operated by Binance Nigeria Limited, soliciting the Nigerian public to trade crypto assets on its various web and mobile-enabled platforms.

“Binance Nigeria Limited is neither registered nor regulated by the Commission, and its operations in Nigeria are therefore illegal. Any member of the investing public dealing with the entity is doing so at his/her own risk,” SEC said in a statement.

Binance is the world’s leading blockchain ecosystem and cryptocurrency infrastructure provider with a financial product suite that includes the largest digital asset exchange.

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The company had recently faced a series of setbacks, announcing plans to leave the Netherlands, Cyprus, Canada and Australia and being charged by the U.S. Securities and Exchange Commission (SEC).

Earlier in the month, SEC sued Binance and Mr Zhao, alleging that the company artificially inflated its trading volumes, diverted customer funds, and misled investors about its market surveillance controls.

The company, however, disputed the SEC charges, according to Reuters.

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