Nigeria's Securities and Exchange Commission (SEC) has announced its readiness to integrate stablecoin businesses into the country's financial system, provided they adhere to established regulations. This initiative aims to harness the benefits of stablecoins while ensuring market integrity and investor protection.
The SEC is collaborating with developers to co-create a comprehensive regulatory framework for stablecoins, focusing on Naira-pegged stablecoins that are fully backed by verifiable reserves and subject to regular audits by independent custodians. These stablecoins are intended to facilitate cross-border trade, payments, and programmable finance, moving beyond mere speculation to support real-world economic activities.
To promote responsible participation in the digital economy, the SEC has launched the "Crypto Smart, Nigeria Strong" initiative. This program targets young investors across schools, universities, and social media platforms, focusing on blockchain fundamentals, scam detection, and the importance of long-term investing.
The SEC's proactive approach reflects Nigeria's commitment to embracing digital finance innovations, aiming to boost economic growth, deepen financial inclusion, and enhance the country's position in global digital trade.