Securities and Exchange Commission (SEC) says it is in discussion with the Central Bank of Nigeria on the regulation of the cryptocurrency market in the nation.
SEC’s Director-General, Lamido Yuguda, in a statement on Thursday, said a recent circular was issued by the commission in its quest to ensure that only fit and proper persons were allowed to operate in the capital market.
SEC promised to continuously engage players in the financial technology space and support them to operate lawfully in a bid to ensure the delivery of safe products and services without stifling innovation.
Yuguda at the end of the Capital Market Committee meeting said,
“It became imperative for the commission to issue this notice for the protection of investors and to preserve the sanctity of the Nigerian capital market as only registered capital market operators are permitted to intermediate in the Nigerian capital market and only through approved channels.”
He added, “We do not want any unregulated entity to participate in the market because if there are issues, it becomes very difficult to resolve. I therefore encourage fintech firms to approach the commission for due registration and desist from operating illegally.
“In the same vein, registered CMOs are advised to refrain from providing any form of support to unregistered entities operating unlawfully within our market, as such action would not be condoned.”
The SEC DG further urged CMOs to improve on their level of compliance, timeliness and correctness of disclosures and other filings made to the commission.
Yuguda stated that the commission was also mindful of developments in the crypto asset space.