Securities and Exchange Commission (SEC) of Nigeria officially considered the operations of Binance Nigeria, subsidiary of The world’s largest cryptocurrency trading Binance is illegal.
According to a statement issued on Securities and Exchange Commission website on July 9, Binance promotes the web and mobile platforms for Nigerian users without obligation regulatory requirements or register with A committee.
The committee expressed its concerns, noting that Binance Nigeria is not authorized or regulated by the SEC, making its operations in The country is illegal.
as a primary regulatory body responsible for investor protectionthe Securities and Exchange Commission confirmed that participation with Comes Binance Nigeria or any similar unregistered platforms with Significant risks, alerting investors to use caution when dealing with encrypt-assets and related financial products and services.
this move By the SEC in Nigeria comes in getting up of Prosecute last Monday by the US Securities and Exchange Commission against Binance, accusing the global crypto exchange of Not registering as a broker or stock exchange. The lawsuit further alleged that Binance offered and sold unregistered securities to public.
This legal challenges They press on Binance, which is in the lead in terms of market Capitalization among all cryptocurrency exchanges.
investor protection and compliance
The Securities and Exchange Commission of Nigeria has introduced regulations for digital assets last yearreferring to the state’s attempt to strike a balance between an outright ban on encrypt-assets and unregulated use.
I followed the center bank of Ban Nigeria in 2021, which ban banks and financial Institutions to facilitate transactions or dealings with digital currencies.
Despite these limitations, young Nigerians have embraced cryptocurrencies, with peer-to-peer usage trading The platforms offered by cryptocurrency exchanges to circumvent their ban traditional financial section.
like regulatory audit of The cryptocurrency industry is ramping up around the world, and authorities are emphasizing its importance of Investor guarantee protection and compliance within the sector.
Actions taken by the Securities and Exchange Commission of Nigeria appear to be increasing regulatory to focus on Cryptocurrency exchanges and operations. The result of This legal challenges It will have far-reaching effects for the future of Crypto Regulations in Nigeria and beyond.