Nigeria’s Securities and Exchange Commission (SEC) is preparing to introduce licenses for providers of virtual assets, including crypto currencies, as part of its strategy to protect investors amid the growing adoption of digital currencies in the country.
In an interview with Bloomberg on Tuesday, SEC Director-General, Emomotimi Agama revealed that the first batch of licenses for digital services and tokenized assets could be issued this month.
“Being a crypto and fintech enthusiast, I can tell you this is going to happen sooner than expected. We must support the youth of this country in harnessing the benefits that fintech offers. The market is vast and continues to grow,” he stated.
He added that this regulatory move aligns Nigeria with other global markets such as the European Union, South Africa, and Botswana, which have already taken steps to oversee the digital asset class, according to Bloomberg.
Reiterating the need for a digital environment, Agama explained that the Central Bank of Nigeria’s ban on banks facilitating crypto transactions was due to concerns over exchange rate manipulation and the naira’s depreciation.
He added that the SEC’s decision underscores the need for a structured environment where digital transactions can be conducted transparently.
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