• The Nigerian Federal Executive Council has approved a national blockchain policy to create a regulatory framework for blockchain adoption.
• The policy aims to enable secure transactions and data sharing, promote digital identity and literacy, and establish a national sandbox for testing.
• Nigeria is also poised to create a legal framework for private stablecoins.
Nigerian Government Approves Blockchain Policy
The Nigerian Federal Executive Council (FEC) has approved a national blockchain policy which will allow the country to develop an appropriate regulatory framework for blockchain adoption. This was in response to a memo from the Minister of Communications and Digital Economy, Isa Ali Ibrahim.
Policy Aims To Enable Secure Transactions And Data Sharing
The policy developed by the Federal Ministry of Communications and Digital Economy (FMCDE) in collaboration with the Federal Government of Nigeria aims to enable secure blockchain-based transactions and data sharing between individuals, businesses, and governments across different sectors. It also seeks to promote digital identity and literacy as well as establish a national sandbox for testing piloting, hosting blockchain business projects, and incentivization programs.
Nigeria Preparing Regulatory Framework For Stablecoins
Nigeria is one of the countries that have seen increased interest in cryptocurrencies over recent years but crypto transactions involving traditional banks are not allowed due to the ban imposed by its central bank – Central Bank of Nigeria (CBN). Nonetheless, CBN stated in January 2023 its readiness to accept private stablecoins but requires legal regulatory frameworks before such projects can proceed.
Report Suggests Global GDP Could Increase By $1.76 Trillion With Blockchain Adoption By 2030
According to PriceWaterhouseCoopers report from 2020 suggests that global gross domestic product could potentially increase by $1.76 trillion through adoption of blockchain technology across various sectors by 2030 – representing 1.4% of world’s GDP.
Conclusion
In conclusion, with this new policy adopted by Nigerian government it sets the stage for creating sound regulations around blockchain technology adoption in Nigeria as well as providing path forward towards creating legal framework for private stablecoin projects acceptance within country’s financial system.
