Nigerian National Blockchain Policy Gets Government Approval

The government of Nigeria – one of the world’s most curious nations about cryptocurrencies such as Bitcoin (BTC) – has approved a national blockchain policy during its meeting on May 3, 2023. The approval was in response to a memo presented by Isa Ali Ibrahim, Minister of Communications and Digital Economy .

IN announcementThe Federal Ministry of Communications and Digital Economy (FMCDE) cited a report by PricewaterhouseCoopers (PwC) which predicts that the widespread use of blockchain technology across various industries could potentially contribute $1.76 trillion to global gross domestic product by 2030, representing 1.4% of world GDP.

FMCDE developed the national blockchain policy through stakeholder consultations in both the public and private sectors. The policy was developed on behalf of the Federal Government of Nigeria, in line with the seventh pillar of the National Digital Economy Policy and Strategy, which focuses on the digital society and emerging technologies.

A draft blockchain adoption strategy, released in October 2020, stated that blockchain and decentralized ledger technology would “facilitate the development of the Nigerian digital economy”.

The policy aims to establish a blockchain-based economy that facilitates secure transactions, data sharing and value exchange between individuals, companies and authorities. The implementation of the policy is expected to have a beneficial impact on the public and private sectors in Nigeria.

National Information Technology Development Agency (NITDA) will be responsible for coordinating the policy initiatives under the supervision of FMCDE. In addition, a multi-sectoral steering committee has been established to monitor policy implementation.

The Federal Executive Council has instructed relevant regulatory bodies such as NITDA, Central Bank of Nigeria, National Universities Commission, Securities and Exchange Commission and Nigerian Communications Commission to create regulatory frameworks for the implementation of blockchain technology in various sectors of the economy.

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The blockchain adoption strategy includes initiatives aimed at establishing a consortium for blockchain in Nigeria, strengthening the regulatory and legal framework, promoting digital identity, creating incentive programs for blockchain businesses, promoting digital literacy and awareness of blockchain technology, and establishing a national blockchain- sandbox for blockchain. testing and piloting.

Despite this new policy, transactions using cryptocurrency remain illegal in the country.

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