Nigeria’s parliament is taking decisive steps toward regulating the country’s fast-growing cryptocurrency and digital-finance ecosystem. The House of Representatives’ Ad-Hoc Committee on the Economic, Regulatory, and Security Implications of Cryptocurrency Adoption and Point-of-Sale (PoS) Operations reaffirmed its intention to craft a clear legal framework for digital assets and fintech platforms during a stakeholder session in Abuja.
Chaired by Olufemi Bamisile, the committee engaged with key cryptocurrency operators, fintech innovators, and regulatory officials — including representatives from major Nigerian exchanges such as Quidax, Busha, and KoinKoin.
Bamisile emphasised the importance of supporting innovation while safeguarding transparency, accountability, and financial security. He urged agencies such as the Nigeria Financial Intelligence Unit (NFIU) and the Economic and Financial Crimes Commission (EFCC) to build technical expertise in blockchain operations.
A key theme of the discussions was the need to avoid prematurely taxing digital-asset operations, as some stakeholders warned this could drive activity underground or accelerate capital flight. Participants also advocated for developing local regulatory technologies and greater gender inclusion — specifically urging that youth and women be represented in policymaking.
The committee plans to submit comprehensive recommendations to guide the development of Nigeria’s first coherent legal framework for cryptocurrency and digital-finance operations — a landmark move for Africa’s largest crypto-adoption market.
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Why It Matters
- Clarity for operators: A defined legal framework would provide crypto and fintech firms in Nigeria with regulatory certainty, opening doors to investment and formal participation.
- Consumer protection & risk-management: Formal regulation can help reduce fraud, improve transparency, and integrate digital-asset firms into the broader financial system.
- Africa’s leading narrative: As one of the largest blockchain-aware markets in Africa, Nigeria’s shift toward formal oversight may influence other countries in the region and signal that digital assets are moving into the mainstream.
- Opportunity cost: However, the speed and design of regulation matter — if frameworks are overly restrictive, they risk creating a burden that stifles local innovation.
