Binance: SEC tightens rules for digital assets operations in Nigeria

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The Securities and Exchange Commission (SEC) has revealed plans to issue updated guidelines for the operations of digital assets and virtual assets service providers in the country.

In an update from the SEC last week, the commission said the new guidelines will ensure criminals do not gain entry into the country’s capital market.

It will be recalled that crypto exchange, Binance, announced that it was ceasing naira services on its platform, following clashes with the Federal Government, which had accused the platform of manipulating the value of the naira through speculative activities.

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“The SEC has also developed new AML/CFT/CPF AML/CFT/CPF onboarding manual for licensing/registration and ongoing screening of Digital and VASP beneficial owners to ensure that criminals are not registered as operators in the capital market,” the release stated.

The SEC is ready to interface with genuine VASPs based on these clear rules and regulations,” the SEC notice noted

SEC also said that following engagement with the Central Bank of Nigeria, updates are being made to its rules.

“That will soon be exposed to the market for comment before final approval. For ease of reference relevant rules and regulations issued by SEC on the regulation of Digital Assets and VASPs have been collated for use by potential applicants and the public,” it stated.