The Nigeria Securities and Exchange Commission (SEC) has announced that seven crypto entities have been granted a provisional approval. These companies include Quidax Technologies Company and Busha Digital Limited.
Crypto Regulation
The regulator responsible for registration and operations in the capital markets has stated that two Digital Assets Exchanges have received preliminary approval to operate under the Accelerated Regulatory Incubation Program (ARIP). Additionally, five firms have been admitted to test their models and technology under the SEC’s Regulatory Incubation (RI) Program.
Provisional Approvals
Two Digital Assets Exchanges, Busha Digital Limited and Quidax Technologies Limited, have been granted provisional approval to commence operations under ARIP. Five firms – Trovotech Ltd, Wrapped CBDC Ltd, Housing Exchange.NG Ltd, Dream City Capital, Blockvault Custodian Ltd – have been admitted to test their models and technology under the RI Program.
Crypto Market in Nigeria
A circular released in June by the SEC listed establishing an office in Nigeria as part of the eligibility requirements for companies categorized as Virtual Assets Service Providers (VASPs) in the country. Despite this, there are ongoing restrictions on the operations of major crypto exchanges like Binance and OKX.
The Nigeria Securities and Exchange Commission stresses that only approved digital exchanges and platforms are legally authorized to conduct crypto trading in the country. ARIP and RI remain the only avenues for legitimate introduction of digital products and services to the Nigerian Capital market.
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