According to the International Monetary Fund (IMF), it is crucial for global cryptocurrency trading platforms to obtain registration or licensing in Nigeria and comply with regulatory measures.
This information was shared in the latest staff report for Nigeria by the Washington-based institution.
The IMF highlighted concerns over the rapid proliferation of foreign exchange (FX) trading platforms in Nigeria, which could potentially impact the country’s financial stability.
The IMF supported the Nigerian government’s decision to restrict cryptocurrency platforms back in February 2024.
The recommendation put forth by the IMF is that global cryptocurrency trading platforms operating in Nigeria should be registered or licensed and adhere to the same regulatory standards applied to financial intermediaries, based on the principles of consistent activity, risk management, and regulation.
It is worth mentioning that the Nigerian government had previously limited the operations of Binance and other cryptocurrencies in an effort to mitigate the impact on the Naira in the foreign exchange market.
Recently, the Securities and Exchange Commission removed the Naira from peer-to-peer market platforms.