The Digital Chamber (TDC) stated that companies might hesitate to do business in Nigeria due to the Nigerian government's detention of Binance employee Tigran Gambaryan. However, TDC noted that Africa is a "diverse" continent with many ambitious young people and will likely remain a tech hub. TDC shared its statement with Federal Newswire on August 15.
"Africa is an enormous continent with a young, smart, ambitious population and the blockchain/crypto activity there is a strong indicator of Africans' broad-based interest and adoption of the technology," said TDC. "Nigeria, being by far the largest country by population and fourth largest by GDP certainly is a harbinger for related activity on the continent—Nigeria is known as tech-forward nation in Africa. That said, the continent is so diverse that it would be self-defeating for the industry to write it off entirely based on recent activity in Nigeria, though it will certainly dampen sentiment in the short term."
According to Cato Institute Policy Analyst Nicholas Anthony, the Nigerian government engaged in "years of currency mismanagement." As a result, many Nigerians began using cryptocurrency to gain exposure to alternative currencies. When the naira crashed again in February, government officials pointed to crypto as the cause. Officials invited Binance to send employees to Nigeria to discuss the situation but detained Binance employee Tigran Gambaryan, a former U.S. federal agent. "Had the government not placed such a heavy hand on exchange rates, it’s unlikely that Binance would have ever been blamed for the naira’s latest crash considering part of the accusation was that Binance manipulated the exchange rates," Anthony said.
Tigran Gambaryan, a former U.S. federal agent imprisoned in Nigeria, pictured with his wife, Yuki
| Change.org
Gambaryan remains imprisoned in Nigeria, where he faces money laundering charges, Reuters reported. His wife Yuki said in a statement that Gambaryan is being denied appropriate access to his legal team and that his health is deteriorating. "His health is in a shockingly bad condition and getting worse by the day," Yuki said. "The herniated disc in his back has worsened to the point where it might leave permanent damage and affect his ability to walk."
Gambaryan joined Binance in 2021 as the company's vice president of Global Intelligence and Investigations, according to Binance's website. He previously spent ten years as a special agent of the Internal Revenue Service—Criminal Investigation (IRS-CI) Cyber Crimes Unit in Washington, D.C. During his tenure with the IRS, Gambaryan led several multi-billion-dollar cyber investigations, including investigations into Silk Road and the Mt. Gox hack.
Africa's crypto market is projected to reach $3.1 billion this year, with an expected 53.89 million users by 2025, according to Statista.
TDC is a trade association representing blockchain and digital asset industry participants, according to its website. TDC works with lawmakers and regulators to advocate for pro-innovation policies in the blockchain ecosystem. Perianne Boring founded TDC and currently serves as its CEO.
