The Securities and Exchange Commission (SEC) of Nigeria has clarified that it has not yet issued any crypto licenses, countering reports claiming a major platform had received provisional approval. According to Bloomberg, the SEC plans to issue its first licenses for digital services and tokenized assets later in August.
SEC Director General Emomotimi Agama confirmed the delay, stating, “Approval is yet to be given to anyone,” in a message to *TechCabal*.
This announcement reflects a significant policy shift by the SEC, which had previously advocated for banning peer-to-peer (P2P) trading. In May 2024, Agama met with crypto industry stakeholders to emphasize the need for exchanges to remove the naira from P2P platforms, linking such trades to currency market volatility.
Talks around licensing began after the Central Bank of Nigeria (CBN) lifted a two-year ban on crypto-related banking in January 2024. Exchanges like Quidax and Luno were reportedly in discussions with the SEC about obtaining licenses but declined to comment at the time.
Since February 2024, regulatory scrutiny on crypto platforms has intensified. Nigerian authorities have accused P2P traders of manipulating the naira and flagged crypto activities as a national security concern. The National Security Adviser (NSA) classified P2P trading as a potential threat.
Global crypto exchange Binance has faced significant challenges in Nigeria, with allegations of money laundering and claims by CBN Governor Olayemi Cardoso that the platform processed $26 billion in untraceable transactions. One of Binance’s executives was also detained as part of the ongoing regulatory crackdown.
The SEC’s upcoming licenses may signal a more structured approach to regulating the crypto industry in Nigeria, but for now, the wait continues.
