ABUJA, April 7 (Reuters) – A Nigerian court has postponed the tax evasion case against cryptocurrency exchange Binance until April 30. The adjournment will allow Nigeria’s Federal Inland Revenue Service (FIRS) to respond to Binance’s request to annul an earlier court order allowing court documents to be served via email, a lawyer for Binance said on Monday.
Binance’s legal representative, Chukwuka Ikwuazom, argued that the tax authority did not obtain court approval to serve legal documents on Binance outside Nigeria. The exchange, which is registered in the Cayman Islands, has no physical office in Nigeria.
“On the whole, the order for the substituted service as granted by the court on February 11, 2025, on Binance who is … registered under the laws of Cayman Islands and resident in Cayman Islands is improper and should be set aside,” Ikwuazom said.
The Nigerian government has filed a lawsuit demanding that Binance pay $79.5 billion for what it claims are economic losses caused by the platform’s operations in the country. It is also seeking $2 billion in back taxes, according to court documents.
Authorities have accused Binance, the world’s largest cryptocurrency exchange, of contributing to Nigeria’s currency instability. In 2024, two Binance executives were detained after cryptocurrency platforms became popular tools for trading the Nigerian naira.
Binance, which is not officially registered in Nigeria, did not immediately respond to a request for comment. However, it has previously stated that it is cooperating with the Federal Inland Revenue Service to address potential past tax obligations.
In documents reviewed by Reuters, the FIRS alleges that Binance has a “significant economic presence” in Nigeria and is therefore subject to corporate income tax. The agency is asking the court to compel Binance to pay income taxes for 2022 and 2023, along with a 10% annual penalty on any unpaid amounts.
