Nigerian blockchain leader welcomes approval of 2 crypto exchanges

A recent approval of two cryptocurrency exchanges by Nigeria’s securities regulator has been welcomed by a key figure in the country’s blockchain sector.

Obinna Iwuno, president of the Stakeholders in Blockchain Technology Association of Nigeria (SIBAN), has highlighted the approval as a significant advancement.

Iwuno noted that it “provides much-needed regulatory clarity,” which he believes will enhance Nigeria’s crypto market image, attract foreign investment, and support local entrepreneurs.

Nigeria’s blockchain industry has faced several challenges, including a crackdown on crypto exchanges linked to the depreciation of the local currency.

This crackdown has led some global exchanges to reduce their presence or exit the Nigerian market.

Binance, in particular, has been under scrutiny, with its employees facing legal issues.

Tigran Gambaryan, a Binance employee, has been detained amid allegations related to the exchange’s operations, affecting Nigeria’s crypto environment negatively.

Iwuno regards the Securities and Exchange Commission’s (SEC) recent decision, led by Director General Lamido Yuguda, as a crucial development.

He emphasised that “having a clear licensing regime enables foreign investors seeking entry into the Nigerian crypto market to legally establish operations in the West African nation.”

Iwuno explained that the absence of clear regulations had adversely impacted Nigerian entrepreneurs, forcing many to operate as foreign entities to secure funding, resulting in “a loss of value for the country.”

Additionally, Iwuno urged Nigerian officials to “uphold the rule of law and adhere to global standards of practice and human rights” concerning Gambaryan’s detention.

He believes this approach will bolster Nigeria's reputation as a significant player in Africa’s cryptocurrency sector.