The Senate, on Wednesday, collaborated with Stakeholders in the Blockchain Association of Nigeria (SIBAN) on the legal framework for crypto exchanges in the country.
The apex legislative Assembly entered the collaboration during an interactive session, the Senator Osita Izunaso-led Committee on Capital Market, had with SIBAN led by its President, Obinna Iwuno.
The SIBAN President, in his submission before the Committee, said that Nigeria, which ranks second in the world in cryptocurrency adoption and number one in Africa, needed to give the blockchain technology and digital asset, legal framework as it is done in the United States of America.
According to him, SIBAN, for now, is self-regulatory but networking with the Securities and Exchange Commission (SEC) and Nigerian Financial Intelligence Unit (NFIU) in promoting all aspects of the country’s capital and digital assets.
He said: “Recently, President Donald Trump of the United States of America (USA), signed a bill into law called the Genius Act, to enable the use of dollar stable USD stable coins which means the USA is also positioning itself to make sure that in the new global financial system that is coming, dollar does not lose its dominance and value as the global currency.
“Here in Nigeria, we cannot afford to take the back seat after ranking second globally in cryptocurrency adoption.
“In Africa, we take the lead. We contribute over 60 per cent of Africa’s adoption and activities on the blockchain.
“These are very important figures for us to note. From chain analysis, the release of transactions that have been done on the blockchain, the figure was a staggering $59 billion. And that is even a tip of the iceberg of the potential that we can harness if we have the proper legal framework, structure, regulation, policy and support”.
Earlier in his opening remarks, the Chairman of the Committee, Senator Izunaso, commended SIBAN for its efforts in promoting the growth of the digital economy in Nigeria.
“We truly value your dedication to fostering a safe, innovative, and well-regulated digital economy.
“The topics you have proposed for discussion, such as leveraging blockchain technology and tokenisation, ensuring investor protection, enhancing industry capacity, and advocating for supportive policy frameworks, align closely with our committee’s objectives.
“We are eager to delve into these subjects and examine ways to enhance Nigeria’s capital market products and services. This meeting offers a valuable chance for us to collaborate and influence the future of our capital market”, he said.
Members of the Committee, like Senators Victor Umeh (Anambra Central), Jibrin Isa (Kogi East), Mustapha Khabeeb (Jigawa SouthWest), etc, in their remarks, called for enabling laws for cryptocurrency operators in the country.
