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Nigeria Second Arm Of Government Leader Asked For Cryptocurrency Legal Framework

Femi Gbajabiamila
Speaker of the Nigeria House of Representatives Femi Gbajabiamila called for a substantive legal framework for cryptocurrencies in the country. The Daily post news on 23rd of July 2019 stated that the speaker wants Nigeria to develop clear regulations for digital assets so that the country does not get left behind as cryptocurrencies become more widely adopted.

Gbejabiamila said in his speech at a visit by the board of the Nigeria Deposit Insurance Corporation (NDIC). He stated he strongly believes that the whole blockchain technology is on the right path and coming out strong.

According to him, the world is now treating the issue of blockchain and crypto with the kind of seriousness it deserves. He doesn't want Nigeria to be left behind and should, therefore, take it more seriously.

He noted the House's readiness to develop relevant legal frameworks for the emerging technology and asset class.

The Role Of The NDIC

The speaker stated that they have been trying to come up with a separate and well-defined competency between the body and the central bank of Nigeria.
The main role of this body is to offer an insurance safety net for the depositor in the banking sector of the country.

Earlier this year, Nigeria's financial watchdog agency, the Economic and Financial Crimes Commission (EFCC), received a petition alleging that a foreign-based crypto firm Paxful Inc. defrauded thousands of Nigerian investors out of millions of dollars worth of cryptocurrencies through arbitrary account closures

Paxful subsequently denied the allegations, claiming that, "all accounts that have been shut down have a reason for it. We will not shut down any account unless they violate our TOS (Terms of Service)"

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