…seek balance between innovation, regulation, security

By Gloria Ikibah

The House of Representatives Ad-Hoc Committee on the Economic, Regulatory, and Security Implications of Cryptocurrency Adoption and Point-of-Sale (PoS) Operations, chaired by Rep. Olufemi Bamisile, has held a landmark session with major cryptocurrency operators and blockchain innovators to shape Nigeria’s emerging digital finance framework.

The meeting, which took place at the National Assembly Complex in Abuja, brought together leading voices from the fintech and blockchain sectors, including executives from Quidax, Luno, Busha, Bitbarter, and the Stakeholders in Blockchain Technology Association of Nigeria (SiBAN)  alongside regulatory agencies and lawmakers.

In his address, Chairman of the Committee, Rep Bamisile reiterated the commitment of the 10th House to a balanced approach that supports innovation while maintaining oversight and investor protection.

He explained that the aim is to create a framework that supports innovation without compromising security or financial integrity, adding that Nigeria must not fall behind in the digital economy but should advance with “transparency, coordination, and accountability.”

He further called on law enforcement agencies such as the Economic and Financial Crimes Commission (EFCC) and Nigeria Financial Intelligence Unit (NFIU) to build technical expertise in blockchain operations, noting that “not every young Nigerian with a laptop and a crypto wallet is a fraudster.”

The session also featured a heated but productive exchange on regulatory oversight. As lawmakers questioned co-founder of Quidax, Buchi Okoro on the exchange’s operations under the SEC regulatory sandbox, with the Securities and Exchange Commission’s (SEC) Head of Fintech Innovations, Abdulrasheed Mohammed, assuring that the Commission maintains strict monitoring within its Accelerated Regulatory Incubation Programme (ARIP).

Chairman Bamisile intervened, urging regulators to encourage innovation rather than penalise it.

“Rather than punish innovation, we should strengthen supervision and taxation mechanisms through agencies like the Federal Inland Revenue Service (FIRS) so that the sector contributes meaningfully to President Bola Tinubu’s vision of a N1 trillion digital economy,” he said.

Participants commended the Committee for facilitating what many described as the most open and inclusive dialogue yet between government and industry.

Several stakeholders, including representatives from the Nigeria Women Bitcoiners and the Blockchain Experts Association of Nigeria, urged policymakers to include gender perspectives and promote digital literacy through schools and youth programmes.

Industry leaders also warned against premature or excessive taxation, arguing that such measures could drive crypto activities underground. Instead, they called for phased taxation, incentives for compliance, and the development of locally-built regulatory technologies to strengthen oversight, boost local capacity, and attract investment.

Participants at the session also pressed for the creation and deployment of home-grown regulatory technologies capable of tracking, auditing, and reporting digital asset transactions in real time.

A Sovereign Blockchain Architect, Oye Shobowale Benson, argued that building such tools locally would help secure Nigeria’s monetary sovereignty, stimulate skills development, create millions of jobs, and attract foreign investment, boosting economic diversification beyond oil.

Stakeholders also pushed for a coordinated regulatory framework involving the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC), and National Information Technology Development Agency (NITDA) to eliminate the overlaps and inconsistencies currently stalling sectoral growth.

They called for clearer compliance standards, stronger government support for blockchain infrastructure, and greater inter-agency cooperation to create a stable environment for digital innovation.

The hearing underscored a growing consensus that Nigeria’s fragmented approach to digital asset regulation must be replaced with a harmonised framework involving the CBN, SEC, and NITDA.

Coming just days after Nigeria’s removal from the Financial Action Task Force (FATF) grey list, the engagement marks a pivotal moment for the nation’s financial reform efforts.

With one of the world’s largest crypto user bases, Nigeria remains Africa’s epicentre for digital finance. Yet, the absence of unified regulation and growing security challenges have made it urgent to craft a national policy that safeguards investors while promoting innovation.

As the Committee prepares to submit its recommendations, stakeholders expressed optimism that Nigeria is on the verge of establishing its first coherent legal and regulatory framework for cryptocurrency and digital finance — one that secures investors, empowers innovation, and positions the country as Africa’s leading digital economy.
The Committee is now expected to table key recommendations that will shape Nigeria’s first comprehensive legal and regulatory framework for cryptocurrency and digital finance — one designed to make the nation’s digital economy secure, competitive, and future-ready.