Trading of cryptocurrencies is regulated in Nigeria, one of the leading countries in the world in terms of Bitcoin adoption.
The Nigerian Securities and Exchange Commission has announced that it will regulate digital currencies to protect investors and ensure transparency of transactions.
The regulatory agency based in Abuja, the capital of Nigeria, regarding the subject, said, “The purpose of the regulations is not to prevent technology or to prevent innovation, but to create standards for ethical practices. Regulation is inevitable when investments are qualified as securities transactions ”.
As it will be remembered, crypto currencies were not included in the legal definition in Nigeria in 2018, and assets such as Ripple, Monero, Litecoin, Dogecoin, Onecoin, especially Bitcoin, were not accepted as currencies.
The Nigerian SEC currently states that it sees these cryptocurrencies as exchangeable securities, and explains, “Those who issue or sponsor virtual digital currencies must be subject to regulations.”
Ayodeji Ebo, manager of Afrinvest company in Lagos, said, “Crypto money transactions are already being carried out right now. Investors have found another way to access alternative assets, and the sooner regulations come, the less damage the economy will suffer. He commented.
Nigeria was recently announced by Chainalysis as the eighth country in the world in terms of cryptocurrency adoption. Ukraine takes the first place, followed by Russia and Venezuela.