FG May Lift Ban On Cryptocurrency As SEC, CBN Begin Work On Trading Regulation

FG May Lift Ban On Cryptocurrency As SEC, CBN Begin Work On Trading Regulation

The Federal Government may lift the ban on cryptocurrency as the Securities and Exchange Commission (SEC) is working alongside the Central Bank of Nigeria (CBN) to regulate cryptocurrency.

Naija News reports that this was disclosed at a virtual news conference by the SEC Director-General, Lamido Yuguda, at the 2021 first post-Capital Market Committee (CMC).

According to Lamido Yuguda, Nigerians will be informed of the outcome of the engagements with the CBN

He said SEC suspended the implementation of crypto assets guidelines due to a lack of access to Nigerian bank accounts.

The official assured that SEC remained supportive of Fintechs and was developing a framework to support their operations.

“With the recent prohibition by the CBN on access to Nigerian bank accounts by crypto exchanges, that market has been disrupted.

“Our aim is to ensure the delivery of safe products and services without stifling innovation”, Yuguda said.

Recall that the CBN ordered banks in the country to shut down the accounts of cryptocurrency traders.

The CBN in its directive, told Deposit Money Banks (DMBs)Other Financial Institutions (OFIs), and Non-Bank Financial Institutions (NBFIs) local financial institutions to stop any transactions in crypto or facilitating payments for crypto exchanges.

The apex bank in the circular signed by Director of Banking Supervision, Bello Hassan, and Director, Payments System Management Department, Musa I Jimoh warned that disobedience to the directive will attract sanctions.

“Breaches of this directive will attract severe regulatory sanctions,” the CBN warned

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