23 January 2021
Nigeria the country of Africa is on the scale of mass adoption of cryptocurrency and blockchain.
There have been reports that Nigeria’s Finance Ministry is in talks with the country’s securities regulator to develop a new framework for blockchain and cryptocurrencies. This move could be a huge turning point for the Africa economy and could lead to accelerating crypto adoption.
A Nigerian market intelligence publication, Business Day has reported that the Ministry of Finance is working with the Abuja-based Securities and Exchange Commission, or SEC, to “provide a regulatory environment for blockchain” and digital assets. The publication highlights Armstrong Takang the Ministry adviser, speaking at an industry event in Lagos on Tuesday.
As per SEC orders, the Digital assets in Nigeria are recognized as commodities and governed by appropriate securities law. The SEC has stated that its role was to regulate digital assets and not to be an obstacle in adoption or innovation.
SEC Nigeria stated,
“The general objective of regulation is not to hinder technology or stifle innovation, but to create standards that encourage ethical practices that ultimately make for a fair and efficient market.”
There has been an increase in crypto adoption in Nigeria as the country struggles with capital controls, devaluation, and new protests targeting police corruption. The officials of Nigeria are very keen on adopting blockchain as they believe with this they could generate $10 billion in revenue by 2030.