Bola Tinubu, the incoming president of Nigeria, has made plans to overhaul the nation’s banking and finance industry by legalizing the usage of cryptocurrencies and blockchain technology. The manifesto suggests revising the Securities Exchange Commission’s current regulations in order to establish a more effective and practical regulatory framework for digital assets. In banking and finance, identity management, revenue collection, and the use of digital assets, Tinubu wants to promote the responsible application of blockchain technology.
According to the proposed rules, all organizations that deal in digital assets must register with the SEC, and all offerings of digital assets and investments must adhere to SEC rules. This action is anticipated to increase investment interest in the economic and digital sectors and spur economic growth. The government, according to Tinubu, would push the Central Bank of Nigeria to promote the usage of the nation’s digital currency, the eNaira.
Google search data shows that Nigerians are becoming increasingly interested in cryptocurrencies, especially stablecoins. The Central Bank of Nigeria’s latest research report, which examines the development of a new framework to launch a stablecoin in Nigeria, reflects this interest.
Crypto fans have criticized current legislation for lacking clauses that would permit users of cryptocurrencies to conduct transactions with their neighborhood banks. By establishing a framework for the regulation of digital assets like cryptocurrencies and other digital tokens in Nigeria, Tinubu’s proposed changes would address this problem.
According to Tinubu, “We will establish an advisory committee to review SEC regulation on digital assets, creating a more efficient and business-friendly regulatory framework.” The manifesto’s release coincides with the increasing interest in crypto assets in Nigeria, and the government hopes the proposed reform will help attract more investors and stimulate economic growth.
Finally, the proposed changes to Nigeria’s banking and finance sector are anticipated to promote the use of cryptocurrencies and blockchain technology, making the nation a more desirable location for investors in the digital and economic sectors. A positive development is the development of a regulatory framework for digital assets that is more effective and business-friendly.