Legal Nigeria

Experts Seek Regulation of Cryptocurrencies in Nigeria

By Sunday Ehigiator

Some economic experts have urged the Central Bank of Nigeria (CBN) to seek measures to regulate cryptocurrency transactions in the country.

Senior Economist with Nigerian Economic Summit Group, Wilson Erumebor, said this during an interview with THISDAY.

He explained: “My view aligns more with that of the Vice President. We should have an open mind towards crypto currency and not just assume that it is just used for fraudulent activities.

“There are a lot of legitimate people who are into crypto currency and I think rather than just banning it, we should take out time to study it very well and create a kind of regulation around it.

“The world is evolving and Nigeria can’t be left behind. We need to first understand it very well, and see how we can also maximise its potentials to the fullest while also forming regulations around it.”

Also speaking, Lead Consultant with one of the cryptocurrency companies in Nigeria, Dr. Albert Ehizogie, factored the rising unemployment in the country as a major driver for career seekers in the Nigerian crypto industry.

“Nigeria recorded 27.1 per cent growth in unemployment in the second quarter of 2020 compared to the 23 per cent in the third quarter of 2018, data from the National Bureau of Statistics (NBS) showed. Youth unemployment makes up a huge chunk of that number.

“Nearly 14 million young people are out of work in Nigeria, which has one of the world’s largest youth populations, with more than a third of its 200 million people aged 24 or under, according to United Nations’ data.

“Economists forecast the rate of unemployment may rise further to 30 percent on the back of the COVID-19 pandemic-induced job losses.

“Job opportunities in the cryptocurrency market have continued to grow on a yearly basis as more investors pour into the market bringing funds and new companies along, hence regulating the industry is rather appropriate.”

Ehizogie said companies like Binance, Bundle, BuyCoins, Luno, and Quidax have stepped up the industry by introducing programs that enable them to deepen their knowledge of the market and become professionals.

“Binance has hosted over 400 free events in 2020, getting attendees in more than 40 countries – many in Africa – online and offline. Usually, a crypto masterclass undertaken by any private entity could cost as much as $200 per student,” he added.