Nigeria Adopts ‘National Blockchain Policy’, Industry Player Says Central Bank Unlikely To Lift Crypto Ban – Africa Bitcoin News

The Nigerian federal government said on May 3 that it had adopted what it called the “national blockchain policy.” The Nigerian Minister of Communications and Digital Economy, Isa Pantami, said the new policy is the product of consultations with 56 institutions and personalities. Lucky Uwakwe, the founder of technology services provider Sabi Group, said the Central Bank of Nigeria (CBN) is unlikely to reverse its stance on privately issued digital currency.

Blockchain policy a product of widespread consultation

The Nigerian federal government recently approved what Isa Pantami, the country’s Minister of Communications and Digital Economy, has described as the country’s “national blockchain policy.” According to Pantami, the new policy is the product of extensive consultations with about 56 Nigerian institutions and personalities. Pantami, who noted what this feat means for Nigeria’s blockchain industry, spoke after a meeting of the Federal Executive Council chaired by outgoing President Muhammadu Buhari:

With the approval of the National Blockchain Policy for Nigeria today, we can confidently say that blockchain technology with all its components and types has been institutionalized in the country.

The minister added that the country’s security council and the National Information Technology Development Agency (NITDA) have been asked to jointly develop and formulate regulatory instruments for all sectors.

The CBN Encryption Directive

Following the announcement, some players in Nigeria have speculated that the new policy signals a shift in the outgoing government’s disposition towards technology underpinning cryptocurrencies. In particular, the new policy gives hope to Nigerian crypto traders and enthusiasts who are still grappling with the effects of the Central Bank of Nigeria (CBN) crypto directive.

Lucky Uwakwe, the founder of technology services provider Sabi Group, said the new policy means the various players in the blockchain industry now have official support from the government. According to Uwakwe, the new policy also suggests that the technology is “here to stay.”

However, the Sabi Group founder told Bitcoin.com News that while the announcement is set to excite blockchain industry participants, players in the crypto space fear that the new policy alone will not force the CBN to reverse its position on privately issued digital currency. According to Uwakwe, this is because the central bank operates independently.

“The Central Bank is empowered by law to act independently. If the CBN decides to see that even with this executive policy that has been adopted by the Federal Executive Council, if the Central Bank still sees it as a threat to financial stability, they still have the power to continue to uphold that law [CBN crypto restriction]”, Uwakwe said. According to Uwakwe, the only way the CBN’s crypto directive can be removed is when the central bank itself “deletes” the February 5, 2021 directive.

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Terence Zimwara

Terence Zimwara is a Zimbabwean award-winning journalist, writer and author. He has written extensively about the economic problems in some African countries, as well as how digital currencies can provide Africans with an escape route.