The Nigerian government, under President Bola Tinubu’s leadership, is taking steps to encourage innovation in the financial sector while ensuring investor safety. As part of this effort, the Securities and Exchange Commission (SEC) has given “Approval-in-Principle” to two digital asset exchanges, Busha Digital Limited and Quidax Technologies Limited. This approval allows them to start operations under the Accelerated Regulatory Incubation Program (ARIP).
In a statement made on Thursday in Abuja, the SEC shared that these two companies are part of a group that includes four digital asset offering platforms and one digital asset custodian. This move is seen as a significant step forward in regulating digital assets in Nigeria, marking a new era for the country’s financial sector.
Busha Digital Limited and Quidax Technologies Limited, both key players in Nigeria’s cryptocurrency market, can now provide services like cryptocurrency trading to the public. However, they will be closely monitored by the SEC to ensure that investor protection and market integrity are maintained.
The “Approval-in-Principle” means these companies can begin their operations and further develop their platforms while undergoing detailed evaluations. The SEC emphasized that this initial approval is not just about encouraging innovation but also about making sure the market remains transparent and trustworthy.
The ARIP aims to support creativity in the digital asset sector while keeping the financial system secure and clear. If successful, this program could lead to a surge of new digital asset companies entering Nigeria’s growing market.
