The Nigerian cryptocurrency community has expressed strong support for the Investment and Securities Bill (ISB) 2024, a proposed law aimed at sanitizing the cryptocurrency space. The bill, introduced by the Nigerian Securities and Exchange Commission (SEC) under the leadership of DG Emomotimi Agama, includes strict penalties for Ponzi scheme offenders .
Key provisions of the bill propose a 10-year jail term and a $12,000 (₦20 million) fine for individuals convicted of running Ponzi scheme or engaging in fraudulent activities related to cryptocurrency.
Originally presented to former President Muhammadu Buhari, the ISB 2024 has been reintroduced to President Bola Tinubu for approval. According to the SEC, the bill seeks to:
- Protect investors from fraudsters operating under the guise of cryptocurrency investments.
- Enhance the legitimacy of Nigeria’s cryptocurrency space.
- Foster transparency and bolster investor confidence to attract global players.
Community Reactions
The bill has been widely hailed as a timely intervention to address the reputation of Nigeria’s cryptocurrency industry, which has faced challenges from bad actors.
Henry Obiazue, a prominent crypto advocate, commended the proposal:
“It’s one way to clear out bad actors from the industry so we can have a vibrant finance and investment ecosystem.”
Similarly, Rume Ophi, an analyst and advocate, highlighted its potential to deter financial crimes:
“The bill, if passed and enforced, will stave off Ponzi scheme and investment scams. It also offers an opportunity to hold past offenders accountable.”
He added that the law could help repair the industry’s image, transforming it from a hub for scams to a reliable investment platform.
Significance for the Nigerian Crypto Industry
Nigeria, recognized as Africa’s leading country in cryptocurrency adoption, has struggled with a tarnished reputation as a hotspot for crypto-related scams. Legitimate players in the industry believe the bill will provide much-needed accountability and pave the way for a safer, more competitive financial ecosystem.
The proposed measures are expected to:
- Restore trust in Nigeria’s cryptocurrency sector.
- Attract more institutional and global investors.
- Create a robust regulatory framework for digital assets.
Conclusion
The Investment and Securities Bill (ISB) 2024 is poised to be a game-changer for Nigeria’s cryptocurrency industry. By targeting fraudulent activities, it aims to build a transparent and accountable market environment.
As the bill moves closer to becoming law, stakeholders are optimistic about its impact on cleaning up the space and promoting legitimate cryptocurrency operations.
Stay tuned to 9am News Nigeria for more Breaking News, Business News, Sports updates And Entertainment Gists.
