A representative of SEC Nigeria has reportedly come out and said that the cryptocurrency market cannot be ignored due to its potential and opportunities.
During a virtual lecture organized by the Association of Capital Market Academics of Nigeria (ACMAN), the SEC revealed that it intends to ‘provide a regulatory framework that will take care of existing challenges that are common internationally in terms of cryptocurrency and digital assets.”
Accordng to Timi Agama, the Head of Department, Registration, Exchanges, Market Infrastructure and Innovation Department of SEC Nigeria:
“There is a lot of investment move into the cryptocurrency market and the tendency is that it will reduce the amount of investments in the stock 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.”
– Head of Market Infrastructure & Innovation, SEC Nigeria
Mr. Agama said the SEC is looking to review and introduce regulations that will guide the market without ignoring the opportunity that this market offers in terms of foreign portfolio investment and foreign direct investment to build the Nigerian capital market.
Despite consumer protection being a huge challenge in the crypto space, Mr. Amugo, the Director, Financial Policy and Regulation Department of the Central Bank of Nigeria (CBN) said:
“The committee on cryptocurrency headed by the National Security Adviser and members are EFCC, NFIU, SEC, NAICOM and all regulators to strategize and come up with a national position not a monetary policy position.
We have issued our initial draft but COVID-19 impeded our efforts to conclude our actions. Because of interests crypto has regenerated, I think it is high time we reconvened and ensure that we take a national position, so that what is issued is a national position not a CBN’s or SEC’s position.”