Senate to drill Emefiele over cryptocurrency ban

Senate to drill Emefiele over cryptocurrency ban

The Senate has summoned the governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, for a briefing on the ban of Crypto transactions placed by the apex bank.

The upper chamber made the order through its committees on Banking, Insurance and other Financial Institution, ICT and Cybercrimes and Capital Market.

The federal lawmakers disclosed this via their official Twitter handle after Thursday’s plenary session.

It was gathered that the committees are expected to drill Emefiele on the opportunities and threats of the Cryptocurrency on Nigerian economy and give feedback in two weeks.

The tweet read: “Senate resolves to mandate the Committees on Banking, Insurance and other Financial Institutions, ICT and Cybercrimes, and Capital Market to invite the CBN Governor for briefing on.

“The opportunities and threats of the Cryptocurrency on the nation’s economy and security and to report back findings within two weeks.”

In a directive that has so far triggered reactions home and abroad, the CBN on Friday February 5, had directed financial institutions, particularly banks, to block accounts being used for trading of various cryptocurrencies.

The February 5 directive came with a stern threat of sanction of any bank that fails to comply. It has been established over the years that the apex bank is a no supporter of digital currency and this time, it explained digital currency usage in Nigeria poses many dangers such as money lundry.

“Cryptocurrency has become a worldwide transaction of which you cannot even identify who owns what. The technology is so strong that I don’t see the kind of regulation that we can do. Bitcoin has made our currency almost useless or valueless." – Senator Sani Musa

— The Nigerian Senate (@NGRSenate) February 11, 2021