Nigeria’s Securities and Exchange Commission (SEC) is committed to creating a clear-cut regulatory framework for cryptos in the country.
It has been reported that both the SEC and the Central Bank of Nigeria will work collaboratively on devising a concrete regulatory framework for cryptocurrencies in Nigeria.
However, for Timi Agama, the commission’s registration, exchanges, market infrastructure, and innovation head, regulators in Nigeria cannot afford to ignore the $1.74 trillion crypto market.
“Part of the desire of the SEC even in the future is to provide a regulatory framework that will take care of all these challenges that we have seen internationally and the entire world is grappling with in terms of cryptocurrency and digital assets. For us at SEC and capital market, it is something to look at, the world cannot be moving forward and we will be static, no.”
The report said that according to Agama, the SEC sees cryptocurrency as a channel for attracting much-needed foreign direct investment (FDI) into the country.
Also, according to a recent report by the National Bureau of Statistics, 26 out of the 36 states of the federation did not receive any FDI in the whole of 2020.
Thus, Kevin Amugo, the Director of Financial Policy and Regulation at CBN, said that the ban was necessary to give the central bank ample time to address the anonymity of crypto transactions.