In recent developments, Nigeria’s Security and Exchange Commission (SEC) has issued a warning, cautioning individuals and financial institutions to comply with market regulatory guidelines.
According to a local press, Emomotimi Agama, Director General (DG) of the SEC, gave the statement in the Federal Capital Territory on Sunday, September 8. In his statement, the SEC DG stressed imminent law enforcement on regulatory defaulters in the finance and crypto spheres.
“We are certainly going to commence enforcement actions on anyone who wants to operate in this market and does not have the intention of being regulated. This also applies to those in the crypto space. We are sending this signal to all those who want to play by the books that they are welcome to our space. For those that do not want to play by the books, of course, we will not allow them operate within our space,” said the SEC DG.
The SEC Commits to Youth Empowerment and Market Development
In August, the SEC approved several crypto firms and exchanges to begin market operations in the Nigeria. In the DG’s statement, he explained that this action was to foster youth participation in the digital space and market growth.
“All these we seek to do without hindering innovation because part of our primary responsibility as the SEC is market development. Clearly, the majority of persons involved in this space are the youth, therefore, providing a regulated space for these individuals is a primary responsibility of SEC,” said the DG
In addition, Emomotimi Agama mentioned the agency’s efforts to clarify regulatory guidelines so institutions could satisfy international policies. This included Anti-Money Laundering and Combating Financing of Terrorism (AML/CFT) laws.
More Exchanges Applying to Nigeria’s SEC to Operate
Also, the SEC DG stated that more exchanges were applying to operate in Nigeria following the regulator’s initially approved batch.
He explained that while it was not the SEC’s goal to “flood” the country with exchanges, it depended on the exchanges’ compliance with guidelines. This highlights the regulator’s commitment to protect investors.