Nigeria to Recognize Crypto as Investment Capital: Report

A proposed bill will lay out crypto supervisory powers of the Central Bank of Nigeria and the country's securities regulator, an official has said.

AccessTimeIconDec 19, 2022 at 11:20 a.m. UTC
Updated Dec 19, 2022 at 3:49 p.m. UTC

In Nigeria, a new bill in the works could let local regulators recognize cryptocurrencies as capital for investment, according to a Sunday report by local news outlet Punch.

If passed, the proposed Investments and Securities Act, 2007 (Amendment) Bill, will also define supervisory roles for the Central Bank of Nigeria and the country's Securities and Exchange Commission (SEC) with respect to digital currencies, Babangida Ibrahim, chairman of the House of Representatives Committee on Capital Market and Institutions, told Punch.

Ibrahim did not specify a timeline for the passing of the bill.

Nigeria banned institutions from facilitating cryptocurrency transactions back in 2017. The SEC clarified in May that it saw digital currencies as securities that represent assets such as debt or equity claims on the issuer.

"It is not that they are illegal but we don’t have regulation for them. So, these are some of the reasons why we need to review the Act and put some regulations for most of the activities – derivatives, commodity exchanges, digital currencies and so many other things," Ibrahim told Punch.

CoinDesk has reached out to Ibrahim for comment.


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Camomile Shumba

Camomile Shumba is a CoinDesk regulatory reporter based in the UK. She previously worked as an intern for Business Insider and Bloomberg News. She does not currently hold value in any digital currencies or projects.