By Emmanuel Ogbodo
The Securities and Exchange Commission (SEC) of Nigeria has announced plans to initiate enforcement actions against individuals and businesses, including cryptocurrency exchanges, operating outside its regulatory framework.
In a statement released on Sunday, SEC Director-General Dr. Emomotimi Agama emphasised the commission’s commitment to protecting investors. This announcement follows the recent approval of two crypto exchanges, Quidax and Busha, which are now the only platforms operating under SEC regulation, despite numerous exchanges being active in the country.
Dr. Agama reiterated that the SEC will take action against those who refuse to comply with regulations, stating: “We are certainly going to commence enforcement actions on anyone who wants to operate in this market without the intention of being regulated.”
He highlighted that the growing interest of young Nigerians in digital assets prompted the SEC to establish a regulatory framework that ensures investor protection while fostering innovation. Agama stressed the importance of full disclosure, anti-money laundering (AML) measures, and combating the financing of terrorism (CFT) protocols as key elements of SEC oversight in the cryptocurrency space.
The Director-General also noted that while many applications have been received from crypto exchanges, only those meeting the SEC’s stringent standards will be approved. The SEC is also focused on protecting citizens from misinformation and fraud in the digital market.
While encouraging innovation, the SEC is committed to maintaining a regulatory environment that supports market development without compromising economic stability. Dr. Agama emphasised the need for public education and a clear regulatory framework to ensure that participants in the crypto space are well-informed and operate within the law.
