Nigerian Crypto and Blockchain Group Set Guidelines For VASPs

Blockchain Cryptocurrency Cryptocurrency Regulation Exchanges News

Globally, different countries are embracing the usage of blockchain technology. This is due to the benefits it offers to various sectors of the economy.

The Nigerian crypto and blockchain advocacy group SIBAN has announced guidelines for all VASPs. The goal is to promote regulation and innovation in the blockchain and crypto sectors.

Safeguarding The Nigerian Blockchain Sector 

The SIBAN (Stakeholders in Blockchain Technology Association in Nigeria) has released a set of guidelines for VASPs. The guidelines aim to make Nigeria a big and safe space for blockchain adoption. In addition, there will be opportunities for investments and solutions.

Also, the advocacy group released a statement. They stated that SIBAN considered the codes and principles applicable to most VASPs. 

An example of the guidelines it considered includes the Code of Conduct by the Global Digital Asset & Cryptocurrency Association (Global DCA). In addition, it took some points from the Statement of Principles by the Cayman Islands.

Lastly, the association also considered the recent guidelines for Nigerian crypto firms.

Partnership With Innovators And Regulators 

When addressing stakeholders at the meeting, the president of SIBAN, Senator Ihenyen, note that;

“SIBAN is an association that fosters regulation and innovation. Hence, we shall do our best to ensure that bad actors are removed from the market. Also, the association aims to provide a conducive environment for regulation and innovation to thrive.”

“The SIBAN association is willing to collaborate with regulators and investors. This collaboration will ensure that Nigeria enjoys the benefits of this nascent sector,” he added.

The Buhari administration initiated the code of conduct to guide the crypto community. According to the announcement, the code will apply to VASPs whether they are members of SIBAN or not.

Furthermore, the leader of membership registration for SIBAN, Mosun Omotunde, made some remarks. He stated that the guidelines show that the group supports innovation. 

Apart from innovation, the group also ensures the protection of the safety and rights of investors. Omotunde believes that striking a balance between innovation and regulation is essential. He considers that it will be crucial for developing the blockchain industry.

The recent development shows that the Nigerian government is warming up to blockchain development. The country maintained a harsh stance toward the crypto and blockchain sector in the past. However, the government recently released a set of guidelines for crypto, VASPs, and ICOs.

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