Nigeria: Crypto Experts Call for Regulations to Help the Industry Grow

Cryptocurrency experts in Nigeria have recently called for “urgent regulations” on cryptocurrencies so the sector can gain the public’s trust, and become beneficial for the country’s economy.

Luno, a South-African based crypto startup that operates in 40 other countries, has reportedly claimed that regulations will strengthen cryptocurrency-related operations in the country. At an event called Luno Meet in Lagos, country manager Owenzie Odia argued regulations will help cryptos’ popularity surge.

Speaking on the theme “Building Trust in Nigeria’s cryptocurrency Market,” Odia noted the sector has various risks, which include volatility and bitcoin’s fame as a currency used for illicit purposes on the dark web, but added his platform has been growing at a steady pace.

So much so that, per Odia, Luno already has over two million users across the globe, and has traded over $3 billion “in the last few years. She went on to list some of the advantages cryptocurrencies bring to the table – from being decentralized and safe, to being programmable and optionally transparent – to note the technology surrounding them is “evolving to meet human needs with speed and convenience.”

The expert noted Luno is targeting West, East, and Southern Africa so it can reach up to 20 countries over the next three years. Lucky Uwakwe, another cryptocurrency expert, added that cryptocurrencies are here to stay, and that when these are regulated “confidence and trust of the people will expand its reach.”

According to the results of a survey Luno carried out, 65% of respondents are familiar with crypto, while 25% own some. Out of those, 29% own both bitcoin and ethereum two of the most popular cryptocurrencies in the market.

As to why they bought cryptocurrencies, 51% claimed to view the asset class as an investment, while 19% revealed they used cryptos for remittance payments. 16% used them to shop online, while 11% sent family or friends money using them.

Per Olaleye Awe, another Nigerian crypto expert, the sector has a “great future” in the country, but won’t overtake fiat currencies. With regulations, he added, “confidence will be boosted and people will have trust in the scheme.”

As CryptoGlobe covered, the head of Nigeria’s opposition party has notably promised progressive cryptocurrency policies if elected president. The head of the Nigerian Deposit Insurance Corporation (NDIC) expressed his concerns about the evolution of cryptocurrency from a regulator’s standpoint earlier this month.