The Nigerian Securities and Exchange Commission (SEC) has announced revised financial requirements for cryptocurrency exchanges, marking a significant shift in the regulatory landscape. The SEC’s updated guidelines mandate a substantial increase in the initial application fee for digital asset service providers, which now stands at 300,000 naira (approximately $186), a threefold rise from the prior fee of 100,000 naira.
The regulatory body has also adjusted the processing fee to 1 million naira (around $620), escalating from the previous 300,000 naira. A notable surge is observed in the registration fee, which has skyrocketed by 400%, ascending from 30 million naira to 150 million naira (equivalent to $93,102).
These revisions are part of a broader amendment aiming to enhance clarity and reflect the insights gleaned from recent dialogues with the Central Bank of Nigeria (CBN). The SEC emphasizes that these changes are a direct response to the inputs from industry stakeholders.
Despite the intention to foster clarity, the new rules have sparked a debate. Critics point out that the hefty 500 million naira paid-up capital requirement may inadvertently favor international firms over local Nigerian entities.
As the country navigates through economic challenges, including a record-high inflation rate nearing 30%, these regulatory changes could shape the future of Nigeria’s burgeoning crypto market, which has gained global recognition for its rapid growth and high adoption rates.
