SEC gives new instructions to cryptocurrency dealers, set deadline to meet new directive

• The SEC recently implemented a novel compliance program called the Accelerated Regulatory Incubation Programme (ARIP)
• The goal of the amendment procedure is to make the regulatory framework better by adding additional detail
• As part of this regulatory reform, VASPs have 30 days from the circular date to complete a new application process

Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market.

The Nigerian Securities and Exchange Commission (SEC) has amended the regulations pertaining to digital asset issuance, offering platforms, exchange, and custody.

The purpose of the amendment process is to improve the regulatory framework. Photo Credit: Alistair Berg
Source: Getty Images

The SEC sent a formal notice to the public outlining its plans to alter these important rules.

The purpose of the amendment process is to improve the regulatory framework by making it more thorough and adaptable to the intricacies of digital asset markets.

SEC introduces ARIP

As part of this regulatory reform, the SEC launched a new compliance program called the Accelerated Regulatory Incubation Programme (ARIP).

This program, specifically made for Virtual Assets Service Providers (VASPs), provides a way for them to comply with the new regulations.

The SEC has established a unique timeframe for the onboarding procedure, which will enable VASPs to take part in the ARIP, according to the circular posted on its website.

Through the SEC ePortal, applicants can access the onboarding procedure. VASPs are instructed to finish the application process within 30 days after the circular date.

It stated,

“By this Circular, all operating and prospective VASPs are hereby directed to visit the SEC ePortal to complete the application process no later than 30 days from the date of this Circular.“The Commission will thereafter commence enforcement action against any operating VASP that fails to comply with the directives in this Circular.”

SEC warns against investing in Davido meme coin

Legit.ng reported that on Friday, June 14, the Nigeria Securities and Exchange Commission (SEC) issued a warning to prospective investors to stay away from $Davido's coin and other meme currencies.

The SEC claims that purchasing $Davido's coin, which is associated with musician David Adeleke, better known by his stage name Davido, was dangerous since meme currencies are entirely speculative and have no intrinsic value.

The commission went on to say that anyone investing in the coin does so at their own risk and that it is not recognized by them.

Source: Legit.ng