Nigerian Securities and Exchange Commission’s head of securities and investment services,
Abdulkadir Abbas
, said they plan to allow the trading of tokens backed by assets like equity, debt, and property on licensed digital asset exchanges.
Abbas underlined that they still do not lean towards crypto-backed token offerings.
Nigeria’s central bank does not permit crypto trade in the country.
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The shuttered peer-to-peer (P2P) crypto exchange Paxful’s data shows that Nigeria, the most populous African country with its 200 million population, is the largest market outside the U.S.
in crypto transactions by volume.
- The country’s Securities and Exchange Commission does not plan to register crypto exchanges until the central bank agrees upon the standards.
- Abbas stated that the exchanges seeking to register with the commission would undergo a regulatory incubation process for a year.
- The process will only allow the exchanges to offer select services monitored by the commission.
- The agency will decide in 10 months whether to register the firm, extend the incubation period, or order the firm to halt operation.
