No law criminalising trade in cryptocurrency – BICCoN

The Blockchain Industry Coordinating Committee of Nigeria has said no legislation from the National Assembly criminalise trade in cryptocurrency.

It therefore noted that the Central Bank of Nigeria’s directive to shut down cryptocurrency operations, if not reviewed, would set a dangerous precedent in the country.

The blockchain industry group, in a statement signed by its General Secretary, Senator Ihenyen, expressed shock and displeasure over the ban.

According to BICCoN, though the CBN has the statutory authority to delimit banking operations, ordering banks and other financial institutions to freeze accounts suspected to be in use for cryptocurrency may not be supported by law.

“This is because there is currently no legislation by the National Assembly criminalising or illegalising trade in cryptocurrency in Nigeria. Therefore, it is questionable whether the CBN has the statutory power to order the (permanent) freezing of these accounts,” it said.

The group noted that the ban would limit crypto trading to unregulated decentralised platforms where unenlightened and unsuspecting members of the public would be more vulnerable to scams, making the Nigerian crypto space a den of criminals.