Gluwa to Support Nigeria’s Cryptocurrency Legalization, Commits $35m To Indigenous Crypto Exchanges Growth In Africa
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Gluwa, a foremost global blockchain company, has announced its readiness to work closely with the Federal Government of Nigeria to create a policy framework that supports the legalization and adoption of cryptocurrencies in Africa’s largest economy.
The firm believes cryptocurrencies can play an important role in driving economic growth and financial inclusion in Nigeria with the right policy framework.
“Gluwa is committed to driving innovation and growth in the blockchain industry, and we believe that Nigeria has tremendous potential in this area. Our proposals have been sent to the Securities and Exchange Commission, the Ministry of Finance, and the Central Bank of Nigeria.
“We earnestly look forward to working with them to create an environment that fosters innovation, encourages investment, and supports the growth of the Web3 industry”, Founder and CEO of Gluwa, Tae Oh noted.
Gluwa has built the first blockchain-based credit repository that enables financial institutions all over the world to tackle fraud and provide instant credit scoring via its Creditcoin network.
Additionally, the company invests in global companies utilizing blockchain technology through Gluwa and has committed $35m to the growth of indigenously owned crypto exchanges in Africa.
Stakeholders and players in the financial and other related sectors are already seeing the opportunities in well-structured cryptocurrency guidelines and policy intervention in the country.
At an event; ‘Technext Coinference’ in 2021, the Minister of State for the Ministry of Finance, Budget, and National Planning, Clem Agba had confirmed the readiness of the government to regulate the cryptocurrency industry.
According to Agba, the Federal Government is optimistic about the numerous possibilities the crypto industry currently provides to ordinary Nigerians as cryptocurrencies could be the biggest disruptor in the finance sector, but the government needed to play a supervisory role in guiding the industry.
Also, the Nigerian Securities and Exchange Commission (SEC) has begun taking steps toward regulating cryptocurrencies, issuing guidelines for initial coin offerings (ICOs), and other cryptocurrency-related activities.
Under SEC’s new rules, all crypto exchanges providing service to Nigerians are now required to secure a permit, which gives the Commission access to its records. Exchanges are expected to submit weekly and monthly trading information as well as quarterly and annual financial and compliance reports.
The Founder of the Blockchain Africa Society, Tebogo Thobeje noted that Gluwa’s announcement is a positive development for the African blockchain industry, with Nigeria at the forefront.
“It shows that there is growing interest and support for cryptocurrencies among businesses and investors in Nigeria.
“We hope that the Nigerian government will take a proactive approach to support the growth of the blockchain industry, and we look forward to working with Gluwa and other important stakeholders to achieve this goal”, Thobeje noted.
Gluwa aligns with the need for the creation of a new regulatory body to oversee the regulation of crypto activities in the country and believes that Nigeria’s Securities and Exchange Commission and the Central Bank of Nigeria can chart a clearer path towards understanding and regulating the crypto space.
Speaking to this, Tae Oh said; “We believe that cryptocurrencies have the potential to transform the financial landscape in Nigeria and the African continent.
“By working closely with the Nigerian government, we hope to create a policy framework that encourages the responsible and regulated use of cryptocurrencies while prioritizing the protection of consumers and preventing illicit activities.
“I am excited to see Gluwa take this bold step towards supporting the adoption and usage of cryptocurrencies in Nigeria.
“I believe that cryptocurrencies have the potential to transform the financial landscape in Nigeria and across the African continent, and I look forward to seeing what the future holds”, said Lolade Babalola, a blockchain enthusiast based in Lagos.
Gluwa has a proven track record of success in the blockchain industry, having launched several innovative blockchain-based financial products and services across the globe.