The Governor of the Central Bank of Nigeria has stated that cryptocurrency regulation is the responsibility of the Securities and Exchange Commission, but the central bank will cooperate with law enforcement agencies and regulators in supervising Nigeria's crypto sector.
According to the governor of the Central Bank of Nigeria, the Securities and Exchange Commission is responsible for regulating cryptocurrencies. However, the governor said that the central bank will collaborate with law enforcement agencies and regulators that oversee Nigeria's crypto sector.
Central Bank's Change of Heart
In a surprising announcement, Yemi Cardoso, governor of the Central Bank of Nigeria (CBN), said that cryptocurrency regulation is not his organization's responsibility.
Cardoso made this statement in a media event, stating that this role was assigned to the Nigerian Securities and Exchange Commission (SEC) Cardoso's comments come just days after a Binance executive, who was detained by the Nigerian government, escaped from custody and fled the country.
The Office of the National Security Advisor, which confirmed the escape of Binance executive Nadeem Anjarwalla, has vowed to involve Interpol in the matter. Prior to Cardoso's latest comments, the CBN under the leadership of the now jailed Godwin Emefiele, had been actively seeking to police Nigeria's digital currency industry.
At one point, the bank appeared to seize the SEC after issuing a directive prohibiting financial institutions from servicing crypto entities. This directive, issued on February 5, 2021, appears to conflict with the crypto guidance released by the SEC on September 14, 2020. as previously reported by Bitcoin.
However, according to a report from Nairametrics, the Cardoso-led Central Bank of Nigeria is now comfortable with the SEC taking the lead in cryptocurrency regulation. The governor also suggested that his organization is eager to collaborate with law enforcement agencies and other regulators.
"We have shared information together. However, in this particular case, the responsibility to regulate cryptocurrencies is not ours, but rather the Security and Exchange Commission's (SEC), and it is not our responsibility," said the CBN governor.
Meanwhile, when asked about the detention of Binance executives, Cardoso said only the relevant government branch could comment.
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