Nigeria’s House of Representatives ad-hoc committee on the economic, regulatory and security implications of cryptocurrency adoption and point-of-sale operations met with regulators and virtual asset service providers to collect input for a national digital-asset framework.
The session aimed to balance investor protection with sustainable industry growth as lawmakers weigh policy options.
Committee chair Hon. Olufemi Bamisile urged a substantial cut to the Securities and Exchange Commission’s proposed ₦1 billion minimum capital requirement for crypto exchanges.
He argued that the figure exceeds international norms, noting that many local crypto firms act as technology providers rather than custodians of customer funds.
Treating all operators the same, he said, risks burdening tech-focused startups with rules designed for custodial businesses.
Speakers stressed that strong consumer protections are needed, citing the prevalence of scams and weak dispute mechanisms that could threaten financial stability and national security if left unaddressed.
A representative of the Speaker of the House, Hon. Usman Kumo, also reiterated the need for a coherent regulatory approach.
To prevent a brain drain of entrepreneurs registering abroad, the committee recommended a Nigeria-first licensing pathway built around tiers.
Under the proposal, smaller firms would start under mentorship arrangements and joint compliance oversight by the SEC and the Central Bank of Nigeria.
As firms demonstrate capacity, they would move into higher tiers with expanded responsibilities. The policy aims to keep startups registered locally while gradually raising standards.
The Stakeholders in Blockchain Technology Association of Nigeria, SiBAN, presented a memorandum backing a unified, risk-based regime.
SiBAN highlighted that Nigeria ranks among global leaders in digital-asset adoption thanks to its large, tech-literate population, but warned the sector is hampered by overlapping mandates from the CBN, SEC and other agencies.
The association called for a single legislative framework to define and classify digital assets and to treat blockchain as critical infrastructure.
Among SiBAN’s proposals are the creation of an act for blockchain and digital assets, and the establishment of a National Council on Blockchain & Digital Assets under the Presidency to coordinate policy, issue technical standards and manage a national multi-sector sandbox.
The group also recommended a tiered licensing system to separate high-risk custodial operators from lower-risk infrastructure providers, local content rules, fee reductions, and wider access to the Accelerated Regulatory Incubation Program.
SiBAN urged mandatory consumer protections including KYC, AML/CFT compliance, and structured dispute resolution, pointing to its own Blockchain Dispute Resolution Panel as one model.
The association said these steps would bring regulatory clarity, expand access to formal finance, reduce fraud, and create jobs, while helping local firms compete on equal footing internationally.
The committee’s work signals a push toward clearer, more proportionate rules that reflect both market realities and security concerns.
Stakeholders said they are ready to continue working with lawmakers to refine proposals and build a framework that supports legitimate businesses and protects consumers.
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