The Securities and Exchange Commission (SEC) has joined the Central Bank of Nigeria (CBN) to ban crypto trading.
SEC has stopped admittance of affected persons into its Regulatory Incubation Framework for Fintech firms.
In a statement on Thursday, SEC said it received inquiries on a perceived policy conflict between its September 11 statement on Digital Assets, Classification and Treatment and the February 5 CBN circular.
The commission stressed that there were no contradictions or inconsistencies.
It clarified that last year’s statement was to provide regulatory certainty within the digital asset space, due to the growing volume of reported flows.
SEC said as the regulator of the banking system, the CBN has identified certain risks that threaten investors’ protection.
The commission disclosed that it engaged with the CBN and agreed to work together to further analyse and better understand the risks.
“For the purpose of admittance into the SEC Regulatory Incubation Framework, the assessment of all persons (and products) affected by the CBN Circular of February 5, 2021, is hereby put on hold until such persons are able to operate bank accounts within the Nigerian banking system”, it announced.
It said planned implementation of the Regulatory Incubation Guidelines for FinTech firms who intend to introduce innovative models for offering capital market products and services will continue.
SEC added that it would keep monitoring developments in the digital asset space to create a regulatory structure that enhances economic development and promotes a safe and transparent capital market.
No nation that consumes above its production capacity can ever have a strong, reliable and dependable economy with a corresponding strong currency.
Nigeria is an abject consumer nation in the midst of plenty, practicing a lazy consumer federalism that gravitates around a broke father Christmas presidency and where states governed by disingenuous, squander-manic and mostly intellectually barren Governors hold sway.
I love the clamor for resource control and fiscal federalism in Nigeria because it would open the doors to access to opportunities for prosperity for citizens if administered with transparency and accountability, but looking at the history of some of those who are championing it, I get agitated and deeply troubled that they are in it to advance a cause for themselves and their selfish interests against the overall good of the people with them as drivers if awarded without strict control mechanisms that would make it impossible for anybody or group of persons to abuse for personal gains.
Some of Nigeria’s economic policies are unfortunately repressive for Nigerians with creative ingenuity but favorable to new colonizing forces led by China coming into Africa to poison Africans with their fake products for massive profits and so, are in need of urgent rethink for the immediate good of this generation and the long term good of the country and her future generations unless we have agreed to be slaves in perpetuity in our land especially with the way we choose our leadership.
Every vote we sell to a leadership misfit without the passion, compassion and the patriotic zeal to serve Nigeria has an ominous implication on her future and the future of her people, no matter how much it satisfies our immediate need without looking at the big picture”.
Mr. Itohoimo Udosen
Figures made available by the Central Bank of Nigeria, CBN, have shown that the country’s foreign exchange reserve has hit a six months high at $44.14 billion as at Thursday.
The external reserves have gained over $1.8bn since February 28, when it dropped to its 2019 low of $42.296bn.
The reserves had risen slightly from $43.116bn on December 31, 2018, to $43.174bn on January 31, 2019, only to fall to $42.296bn at the end of last month.
It would be recalled that the external reserves rose to a high of $47.865bn on May 10, 2018. It however plunged to $41.523bn on November 22 from $44.305bn on September 28.
This is coming just as the United States’ President, Donald Trump’s tweet cussed another price upset in the crude oil market.
Trump had on Thursday, called for the Organisation of the Petroleum Exporting Countries to boost oil production to lower the price of the commodity.
“[it is] very important that OPEC increase the flow of oil. World markets are fragile; price of oil getting too high. Thank you!” Trump wrote in a post on Twitter.
Immediately after the tweet, the US crude oil futures fell by more than $1 to $58.33 a barrel and Brent futures were down by more than $1 to a session low of $66.76 per barrel, News reported.