The Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) have agreed to collaborate and conduct research with a view to finding ways of regulating the Cryptocurrency market. […] He said that such currencies remained illegal in Nigeria because they were issued by entities that were neither licensed nor legal. De external site no concern BBC. He, however, suggested that major stakeholders on cryptocurrency transaction be invited to a public hearing to appraise its advantages and its excesses. Cryptocurrency is described as a digital asset designed to work as a medium of exchange where individual coin ownership records are stored in a ledger existing in a form of computerised database. cryptocurrency By Elizabeth Adegbesan. The CBN further instructed all banks and other financial institutions to identify individuals or entities that transact in cryptocurrency or operate cryptocurrency exchanges and close their accounts. This confirmation from the IMF thus corroborates what the Central Bank of Nigeria (CBN) has been saying about cryptocurrency transactions in the country. Other Financial Institutions (OF's) and members of the public on the risk associated with transactions in … The most popular cryptocurrency transacted in Nigeria is Bitcoin, but others like Dogcoin and Ethereum are also dominant while more cryptocurrencies continue to be created from time to time. And it may come sooner than later,” he said. Findings reveal that Nigeria has accounted for crypto transaction worth N566 million dollars in the last five years. According to the estimates, out of the top 10 countries for trading volumes Nigeria ranked third after USA and Russia in 2020, generating more than 400 million dollars worth of transactions. While we institute the ban, we should undertake a comprehensive study to understand how it works. De way wey we de take go external link. One reason is the supposed concerns about the lack of regulation as well as licensing issuers and actors in the cryptocurrency trade scene. It usually does not exist in physical form like paper money and is not issued by a central monetary authority. Im come add say dem fit achieve serious regulations "witout necessarily killing di goose wey fit lay di golden egg.". According to the CBN, “dealing in crypto currencies or facilitating payments for cryptocurrency exchanges is prohibited”. 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CBN Governor calls Crypto illegal money The CBN Governor, Godwin Emefiele stated that the Crypto ban was in the best interest of Nigerians. Kindly share this story: Olalekan Adetayo. Oga Osibanjo add say disruption dey always make room for efficiency and progress. Osita Nwanisobi, CBN Acting Director of Communications said that the directive was only a reminder of an earlier directive in 2017 banning cryptocurrency transactions. Read Also: CBN opposes lockdown, retains interest rate at 11.5% The first decentralised cryptocurrency, bitcoin, was created in 2009 by presumably pseudonymous developer Satoshi Nakamoto. Central bank of Nigeria 's ( CBN ) circular of January 12, 2017 ref Deposit money banks DMBs! Safety is really not guaranteed to protect Nigerians, come give all di banks ultimatum to close down operating... Of restrictions on financial institutions in Nigeria because they were issued by a central monetary authority Nigeria from facilitating dealing! 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