The Securities and Exchange Commission (SEC) has proposed amendments to the rules governing platforms offering crypto services.
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The proposed changes include substantial increases in registration fees for crypto exchanges, from 30 million naira ($18,620) to 150 million naira ($93,000).
The SEC cited the need for clarity and incorporated feedback from industry stakeholders, particularly in light of recent engagements with the Central Bank of Nigeria (CBN).
Under the updated guidelines, digital asset exchanges and custodians would face a higher application fee of 300,000 naira ($186), up from 100,000 naira ($62).
Moreover, processing fees would surge from 300,000 naira ($186) to 1 million naira ($620), while the registration fee would spike by 400%, reaching 150 million naira ($93,102).
One notable proposed change involves renaming the rules and guidelines to “Rules on Digital Assets Issuance, Offering Platforms, Exchange, and Custody,” aiming to enhance clarity and align with recent discussions with the CBN.
Critics have voiced concerns over the steep 500 million naira ($310,343) paid-up capital requirement, arguing that it could disproportionately benefit foreign firms over local entities.
Nigeria’s crypto economy has witnessed rapid growth in recent years, ranking as the second-biggest in the world in terms of adoption in 2023. However, challenges persist, with the country grappling with record-high inflation after abandoning its currency peg in June 2023. In January 2024, consumer inflation surged for the 13th consecutive month, nearing 30%, according to the National Bureau of Statistics.
The proposed amendments signal a significant development in Nigeria’s regulatory approach to cryptocurrencies, with potential implications for both local and international players in the market.
