Abuja: The Senate, through its Committee on Capital Market, is laying the groundwork alongside the Stakeholders in Blockchain Association of Nigeria (SIBAN) to create a legal framework for cryptocurrency exchanges within the nation. This initiative was announced during an interactive session in Abuja, chaired by Sen. Osita Izunaso, with SIBAN’s President, Obinna Iwuno, leading the delegation.
According to News Agency of Nigeria, Iwuno emphasized Nigeria’s notable position in global cryptocurrency adoption, ranking second worldwide and first in Africa, as a crucial factor for developing a clear regulatory structure for blockchain and digital assets. He pointed out that SIBAN, while currently acting as a self-regulatory body, collaborates with entities like the Securities and Exchange Commission (SEC) and the Nigerian Financial Intelligence Unit (NFIU) to enhance the country’s capital and digital asset markets.
Iwuno highlighted the recent U.S. legislative developments, where President Donald Trump signed the Genius Act, facilitating the use of dollar-pegged stablecoins. He noted this as part of the U.S. strategy to uphold the dollar’s dominance in the global financial landscape. He stressed that Nigeria, leading Africa in blockchain activity with over 60 percent of the continent’s adoption, cannot afford to lag. He cited Chainalysis reports that estimate Nigeria’s blockchain transactions at $59 billion, indicating significant potential if proper legal frameworks and supportive policies are established.
Sen. Izunaso, in his opening address, commended SIBAN’s dedication to cultivating a secure and innovative digital economy. He acknowledged the alignment of topics like blockchain technology, tokenization, investor protection, and supportive policy frameworks with the Senate’s objectives. He viewed this collaboration as a chance to jointly shape the future of Nigeria’s capital markets.
Committee members, including Senators Victor Umeh, Jibrin Isa, and Khabeeb Mustapha, supported the need for laws that would facilitate the operations of cryptocurrency and blockchain-based enterprises in Nigeria.