Are cryptocurrencies regulated in Nigeria?

The regulation of cryptocurrencies in Nigeria has been a topic of much debate in recent years. In 2021, the Central Bank of Nigeria (CBN) imposed a ban on banks and financial institutions from processing or facilitating transactions involving cryptocurrency assets, citing risks of money laundering and terrorist financing. However, in 2022, the Securities and Exchange Commission (SEC) of Nigeria released digital asset regulations, indicating that the country was seeking a middle ground between a complete ban on cryptocurrency assets and unregulated use. More recently, the CBN lifted the ban on cryptocurrency transactions, citing global trends that suggest the need for regulation of cryptocurrency trading activities. Despite these regulatory changes, there are still concerns about the manipulation of Nigeria's official currency, the Naira, through cryptocurrency transactions. Some have called for stricter regulations or even a ban on cryptocurrency platforms, such as Binance and KuCoin, that are alleged to be involved in such manipulation. However, others argue that cryptocurrencies can provide benefits to Nigeria's economy, such as increased financial inclusion and cross-border payments. Given these complexities, one must ask: Are cryptocurrencies truly regulated in Nigeria? And if so, to what extent? The answer to this question remains unclear, as the regulatory environment continues to evolve and adapt to the rapidly changing world of cryptocurrency.