The leader of Nigeria's crypto intercommunity working group, Uwakwe, claims that when investors invest in local Web3 startups, they fear similar consequences to Binance's.

Investors are pulling out of collaborations and transactions in Nigeria as a result of the steps taken against Binance executives, especially in the web3 industry.

According to Lucky Uwakwe, the chairman of Nigeria's Blockchain Industry Coordinating Committee (BICCoN), they bring up the government's perceived animosity towards business in Nigeria and the perceived lack of safety for it, using the Binance case as proof.

Uwakwe, the leader of the intercommunity working group in Nigeria that includes the Blockchain Nigeria User Group (BNUG), the Cryptography Development Initiative of Nigeria (CDIN), and the Stakeholders in Blockchain Technology Association of Nigeria (SiBAN), discussed the worries of investors in a conversation with Cointelegraph.

Uwakwe claims that investors are concerned about possible consequences akin to The outcome of Binance's investments in regional Web3 businesses. He made note of the parties who have already invested gradually pulling out.

Tigran Gambaryan and Nadeem Anjarwalla, executives of Binance, visited Nigeria in February in response to allegations that the exchange had manipulated the naira, the nation's fiat currency.

After the executives met with the Nigerian government to discuss Binance's regulatory issues, they were taken into custody and charged with five offences that involved money laundering.

According to Uwakwe, the country as a whole is being negatively impacted by the government's handling of the Binance issue.

The government is essentially destroying the whole business by pursuing fines on Binance, forgoing future growth in favour of band-aid fixes.

Uwakwe voiced doubt when asked if he thought the Binance executives will be found not guilty in the current trial. He thinks the executives face little chance of acquittal unless the government determines that certain conditions are met internally by the company. He said,

"The chances are probably 90-10, 10 for the concerned Binance executives, and 90 for the government."

Uwakwe emphasised that even if the judge finds the Binance executive not guilty, there's a strong likelihood the Nigerian government will disregard the court's ruling.

This pattern has been observed before, especially in circumstances where it was believed that the stability of the country was in danger.

In response to a potential question from the international community, Uwakwe addressed why the Nigerian cryptocurrency community did not enthusiastically embrace the release of the Binance executives.

He suggested that advocacy groups would have backed Binance and pressure groups if they had gotten in touch with the right associations sooner.