Osinbajo Calls For Robust Regulation Of Cryptocurrency, Not Prohibition

Vice President Yemi Osinbajo has said that the country needs to
regulate cryptocurrency, instead of the prohibition put in place by
the Central Bank of Nigeria (CBN).

Mr. Osinbajo, a professor of law, spoke as a guest at the CBN
Bankers’ Forum holding virtually and also onsite at Eko Hotels and
Suites in Lagos.

“There is a need for regulation and not the prohibition of
cryptocurrency,” Mr. Osinbajo was quoted to have said by Business
Africa.

The event is set against the country’s exit from its second
recession in five years, and is focused on sustainable economic
recovery.

The theme of the one-day special summit is “How to Overcome the
Pitfalls of Recession: Bankers Perspective and Prescriptions for an
Enduring National Growth Path”.

At the plenary session held on Tuesday at the Senate, CBN
Governor Godwin Emefiele described cryptocurrency as “money that is
created out of thin air” and described the transactions as
“Opaque”.

The vice-president’s statement comes nearly two weeks after the
Central Bank ordered banks on February 5 to close customer accounts
used in trading cryptocurrencies.

Banks such as Access Bank, First Bank, and GTB complied with the
directives, closing accounts of customers who carried out their
transactions in cryptocurrencies.

The apex bank gave fraud, illicit funding for terrorism and
other threats to national security as reasons for the ban. The
decision was met with harsh criticisms from the general public and
the legislature where the house was divided.

Public affairs analysts say the vice-president’s take on the ban
on cryptocurrency underscores the incoherence that has become
apparent in the policy making processes of the Buhari
administration.

Vice President Yemi Osinbajo has said that the country needs to
regulate cryptocurrency, instead of the prohibition put in place by
the Central Bank of Nigeria (CBN).

Mr. Osinbajo, a professor of law, spoke as a guest at the CBN
Bankers’ Forum holding virtually and also onsite at Eko Hotels and
Suites in Lagos.

“There is a need for regulation and not the prohibition of
cryptocurrency,” Mr. Osinbajo was quoted to have said by Business
Africa.

The event is set against the country’s exit from its second
recession in five years, and is focused on sustainable economic
recovery.

The theme of the one-day special summit is “How to Overcome the
Pitfalls of Recession: Bankers Perspective and Prescriptions for an
Enduring National Growth Path”.

At the plenary session held on Tuesday at the Senate, CBN
Governor Godwin Emefiele described cryptocurrency as “money that is
created out of thin air” and described the transactions as
“Opaque”.

The vice-president’s statement comes nearly two weeks after the
Central Bank ordered banks on February 5 to close customer accounts
used in trading cryptocurrencies.

Banks such as Access Bank, First Bank, and GTB complied with the
directives, closing accounts of customers who carried out their
transactions in cryptocurrencies.

The apex bank gave fraud, illicit funding for terrorism and
other threats to national security as reasons for the ban. The
decision was met with harsh criticisms from the general public and
the legislature where the house was divided.

Public affairs analysts say the vice-president’s take on the ban
on cryptocurrency underscores the incoherence that has become
apparent in the policy making processes of the Buhari
administration.