The Securities and Exchange Commission (SEC) of Nigeria has proposed a revision to the regulations governing platforms providing cryptocurrency services. This includes a proposal to increase the registration fee for cryptocurrency exchanges from 30 million naira ($18,620) to 150 million naira ($93,000).
These proposed changes come after the SEC initially issued rules and guidelines for all crypto and digital asset service providers in May 2022. As of March 15, 2024, the SEC suggested amendments to these rules.
Under the updated guidelines, digital asset exchanges, (DAX) digital asset offering platforms (DAOP), and digital asset custodians (DAC), will now pay a filing/application fee of ₦300,000 ($186) instead of ₦100,000.
The processing fee has also spiked from 300,000 naira ($186) to 1 million naira ($620). Similarly, the registration fee has spiked by 400%, from 30 million naira ($18,620 ) to 150 million naira ($93,102).
Another proposed change involves renaming the rules and guidelines from "New Rules on Issuance, Offering Platforms and Custody of Digital Assets" to "Rules on Digital Assets Issuance, Offering Platforms, Exchange, and Custody."
The SEC said these changes are proposed to provide clarity and reflect suggestions made by industry stakeholders. It, however, revealed that it is also based on its recent engagement with the Central Bank of Nigeria (CBN).
While the SEC claims that the changes were proposed to incorporate suggestions from industry stakeholders, some have already criticized the ₦500 million paid-up capital requirement. They argue that the exorbitant fee would only benefit foreign companies and disadvantage local players.
Source: Businessinsider Africa
