A Nigerian blockchain industry leader said the securities regulator's clearance of two crypto exchanges boosts the crypto space's image. The leader thinks clear laws would attract international investment and boost Nigerian enterprises. He also asked Nigeria to treat the arrested Binance employee legally.
Nigeria's blockchain advocacy organization head Obinna Iwuno welcomes the licensing of two digital asset exchanges. Iwuno, president of SIBAN, feels the action would help overcome the unfavorable impression of Nigeria's crypto ecosystem, which exacerbated when Binance officials were detained earlier this year.
According to Bitcoin.com News, Nigerian authorities have clamped down on crypto exchanges for depreciating the native currency. This crackdown caused several worldwide exchanges to withdraw from Nigeria in the previous six months. Nigerian authorities accuse Binance of money laundering. Tigran Gambaryan, a company employee, was arrested.
In June, former SIBAN leader Senator Ihenyen said Nigeria's handling of the Binance employee and attempted extortion harmed the country's reputation. Nigeria's actions set a dangerous precedent, said Binance CEO Richard Teng.
Iwuno considers the Securities and Exchange Commission (SEC) judgment under Director General Lamido Yuguda (known as “Agama”) a favorable move. Clarifying regulations is crucial, he says. Foreign investors may lawfully operate in Nigeria's crypto industry with a defined licensing structure.
In a statement to Bitcoin.com News, Iwuno said unclear restrictions have hurt Nigerian businesses. He said the SEC's acceptance and processing of other license applications will likely fix this.
The financing environment has hampered Nigerian startups. Foreign investors sometimes need Nigerian enterprises to register in regulated countries outside Nigeria to get finance. Iwuno noted that Nigerian entrepreneurs now run their firms as foreign corporations, reducing the country's worth.
The SIBAN president said Nigeria, a significant bitcoin trader in Africa, should have regulated and issued licenses first. The SIBAN leader asked Nigerian authorities to maintain the rule of law and worldwide human rights norms regarding Gambaryan's imprisonment.
