The Securities and Exchange Commission (SEC) of Nigeria has provided insight into its recent approval-in-principle granted to two cryptocurrency exchanges.
SEC Director-General Emomotimi Agama emphasized that this move aligns with President Bola Ahmed Tinubu’s vision to engage Nigeria’s youth in the capital market.
Speaking at a meeting in Abuja on Wednesday, Agama stated, “It is important that we act accordingly; we are a country that cannot be left out of the global phenomenon that is beginning to take shape. The SEC, as a forward-looking institution, is poised to ensure that we are among the countries that do what is needed.”
Last week, the SEC granted approvals to Busha Digital Limited and Quidax Technologies Limited. Agama explained that this decision reflects the commission’s commitment to creating a structured environment for youth participation in the market.
“Many young Nigerians are fully involved in it, and we cannot shut the door against them. Rather, the intention of Mr. President is to have them inclusive in the capital market, and that is why we are ensuring that there is regulation, so no one is hurt at the end of the day,” Agama said.
The SEC DG stressed that these approvals are being granted cautiously to mitigate potential risks to the national economy and investors.
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He clarified that the commission has not yet issued outright licenses but rather approvals-in-principle, describing it as a “controlled experiment” to study these entities closely.
Agama highlighted the SEC’s Virtual Assets Service Providers Regulation and the Accelerated Regulatory Incubation Programme as key initiatives in understanding and regulating the crypto industry. He emphasized the importance of balancing innovation with investor protection and market development.
“We are ensuring that they operate within regulations similar to those in other jurisdictions,” Agama stated.
