“If you’re not registered with SEC, you’re illegal,” Nigerian govt to fintechs

Nigeria’s Securities Exchange Commission (SEC) has charged all fintechs, cryptocurrency firms and exchanges to register with the commission. This is coming weeks after President Bola Tinubu assented the Investments and Securities Act 2024 into law, making its provisions officially enforceable.

“If you are not registered with the SEC, you are illegal,” Dr Emomotimi Agama, the Director General of the SEC, said during a virtual engagement that held today.

“Registration is the hallmark of regulation. If there is no registration, there is a violation. Hence, we all must educate ourselves and clear any doubt in the process of building a strong Fintech ecosystem.”

The desire to fast-track digital asset licensing and registration is slowly becoming a core mandate for Agama in 2025. This turnaround is quite significant from 2021, when the rise of cryptocurrency was stalled by several bans, hurting the growth of the sector. 

However, the SEC boss is determined to avoid sharp practices and safeguard investors from pump and dump schemes, ponzi schemes and volatile meme coins introduced by celebrities. Last year, the commission warned the general public against meme coins introduced by African singer and songwriter, Davido. 

For the digital asset providers seeking licensing who have not yet gotten a response, Agama noted that work has been happening underground. 

“We have observed some significant issues which we need to take care of. Some of the new applications need a level 3 due diligence before getting a provisional license. It must have taken longer than necessary. However, what we are trying to do is to make sure that every gap is covered.”