Quidax Secures Nigeria’s First Provisional License for Crypto Exchange Operations

Quidax, an Africa-founded cryptocurrency exchange, has become the first to receive a provisional operating license from Nigeria’s Securities and Exchange Commission (SEC). This license authorises Quidax to function as a registered digital assets exchange in Nigeria, marking a significant regulatory milestone for the country's crypto industry.

Opportunities for Collaboration

With this new license, Quidax is now positioned to collaborate with banks and other financial institutions, subject to further approval from the Central Bank of Nigeria. This potential for collaboration is seen as a crucial step towards fostering the growth of the cryptocurrency sector in Nigeria while ensuring consumer protection and stability.

Leadership and Vision

Buchi Okoro, the co-founder and CEO of Quidax, expressed his enthusiasm about this achievement, highlighting the importance of customer satisfaction and safety in the company’s operations. He also praised the Nigerian SEC, particularly under the leadership of Dr. Emomotimi Agama, for adopting a progressive approach to crypto regulation. Okoro described the license as a “big win” for Nigeria’s embrace of cryptocurrency, reinforcing the nation’s forward-thinking stance in digital finance.

Challenges in the Nigerian Crypto Market

Despite this positive development, the Nigerian crypto landscape has recently seen several major exchanges, including OKX, Binance, and KuCoin, exiting the market due to stricter regulations. The Nigerian government’s increasing regulatory oversight has prompted these departures, signalling a shift in the country's approach to cryptocurrency operations.

Africa’s Largest Crypto Market

Nigeria remains the largest crypto market in sub-Saharan Africa. According to Chainalysis, African countries collectively received $117 billion worth of Bitcoin between July 2022 and June 2023, underscoring the region’s significant role in the global crypto economy.

Conclusion

Quidax’s provisional license represents a breakthrough for the Nigerian crypto industry, but the broader market faces challenges as regulatory pressures mount. The balance between innovation and regulation will be crucial as Nigeria continues to navigate its role in the global crypto landscape.