The Nigerian government is gearing up to implement fresh regulations that will prohibit the use of the national currency, the Nigerian naira, in peer-to-peer (P2P) cryptocurrency exchanges. The Securities and Exchange Commission (SEC) of Nigeria is on the verge of introducing a new regulatory framework for crypto exchanges, custodians, and other industry players. The launch is expected to take place in the near future, as per a report by Bloomberg on May 7.
SEC Director General Emomotimi Agama explained that the purpose of these regulations is to remove the naira from P2P exchanges in order to safeguard it against manipulation. In a bid to protect the local currency, the authorities have already imposed a ban on Binance, a global cryptocurrency exchange, and have made arrests related to the case. Two individuals, Tigran Gambaryan and Nadeem Anjarwalla, were detained in Nigeria in February 2024.
Gambaryan, who is currently held at the Kuje correctional center in Abuja, the capital of Nigeria, is scheduled to stand trial on May 17. He faces charges of tax evasion, currency speculation, and money laundering. As this is an ongoing development, additional details will be provided as they unfold.