Nigeria has launched a criminal investigation against cryptocurrency exchange Binance, accusing the platform of being used for money laundering. As a result, an executive of the company, Nadeem Anjarwalla, was detained when he arrived in the country. However, he managed to escape custody and flee the country using a smuggled passport, according to authorities.

The incident was reported by the office of Nigeria’s National Security Adviser, stating that Anjarwalla’s escape was possible due to the negligence of the personnel responsible for his custody. They have been arrested, and an investigation is ongoing to uncover the circumstances surrounding his escape.

Anjarwalla, who is the regional manager for Binance in Africa and holds both British and Kenyan citizenship, was detained along with another colleague on February 26. However, his colleague, Tigran Gambaryan, a US citizen, remains in custody. The Binance executives were scheduled to appear in court on April 4.

Nigeria is the largest crypto economy in Africa, with many citizens turning to digital currencies due to the country’s surging inflation and weakening local currency. However, Binance recently ended trading with the Nigerian naira on its platform following the accusations from authorities. The platform has been accused of complicity in aiding customers to evade taxes and also being used for “terrorism” financing. However, no evidence has been provided publicly to support these claims.

As the investigation continues, it remains to be seen how this incident will impact the crypto market in Nigeria and the operations of Binance in the country.