In a recent speech, Nigerian Finance Minister Edun stressed how important it is for the Securities and Exchange Commission (SEC) to quickly figure out how to regulate cryptocurrencies. Local news sites say that Edun talked about how volatile and hard-to-understand cryptocurrencies are at the Abuja inauguration of the SEC board. They work in a “fast-moving” field, he said.
Because digital assets change so quickly, Edun said that the Nigerian capital market needs to be closely watched to make sure it stays honest. On April 19, 2024, at the exact same time he spoke, President Bola Tinubu officially approved the SEC board. There are other executive members on the board, as well as Director General Emomotimi Agama and Head of the Securities and Exchange Commission (SEC) Mairiga Katuka.
Nigerian Finance Minister Urges SEC Action on Cryptocurrency Oversight
Since they were hired, the SEC has started to make major changes to the rules that guide issuing digital assets, offering platforms, exchanges, and storage. The Accelerated Regulatory Incubation Program (ARIP) was created as part of this effort to help crypto entities meet local standards.
Even with these advances, Edun was worried that the current changes might not be enough. He warned that crypto entities might take advantage of Nigeria’s low registration requirements. He pushed for strict corporate governance rules to be put in place to stop regulatory arbitrage.
Edun also told the SEC to find problems quickly and follow the best methods around the world. As digital money and AI get better, this shows how important it is to be careful. In comparison to other areas, he said, the financial sector changes very quickly. He told the SEC to keep learning and be flexible.
In reaction, Mairiga Katuka, chairman of the SEC, told stakeholders that the commission was committed to building a strong financial ecosystem. He was positive about Nigeria’s economic future under the current administration’s plan to change the economy and boost growth through proactive rules and regulations.
As part of its plan to use new technologies to help the economy grow, the Nigerian government is talking about how to control cryptocurrencies. The National Information Technology Development Agency of Nigeria recently said that they are going to build study centers for AI and blockchain technologies. This shows the country’s long-term plan for combining technology.
At the moment, Nigeria is still having trouble with the law when it comes to trades for bitcoin. Binance chief Tigran Gambaryan has been in jail since February because of crimes committed by the Economic and Financial Crimes Commission (EFCC). People from all over the world have looked at the case, including US lawmakers who are disputing the charges. However, Nigeria is still committed to due process.
People interested in cryptocurrencies are looking for more information from the SEC and other government agencies that will help make the rules for cryptocurrencies in Nigeria in the future. This is because Nigeria is trying to figure out how to deal with these issues.
