Nigeria SEC working with central bank to lift digital currency ban Business
Nigeria’s securities market regulator is working with the country’s central bank to forge a way forward for the embattled industry. The Securities and Exchange Commission acknowledged that a recent ban by the bank had disrupted Nigeria’s digital currency industry, while pledging support to promote innovation in the nascent industry.
Nigeria is the world’s second largest peer-to-peer digital currency market and the leader in Africa. However, a ban by the Central Bank of Nigeria (CBN) on digital currency-related banking services has threatened to stifle its rapid growth. CBN claimed that the ban was to protect Nigerians from the risks that digital currencies pose, such as money laundering and terrorism financing.
Turkey bans ‘risky and volatile’ digital currencies for payments Business
Turkey’s central bank has banned citizens from using digital currencies for payments, saying that digital currencies pose great risks as they are unregulated and volatile. Digital currencies also undermine the payment methods the bank has put in place, including the national currency.
The Central Bank of the Republic of Turkey announced the new ban through the Official Gazette, prohibiting citizens from using digital currencies for payments directly or indirectly. Turkish firms are also prohibited from providing digital currency-related payment services. It termed digital currencies as risky because “they are neither subject to any regulation and supervision mechanisms nor a central regulatory authority.”
Indian Minister Anurag Thakur said the government would put investors at the forefront of their legislative effort, though it remains unclear exactly how they intend to protect investors.
Jamaica, Ireland firm partner to test CBDC project in 2021 Business
The Bank of Jamaica has partnered with an Ireland-based company eCurrency Mint to pilot its central bank digital currency (CBDC) project. The project will commence between May and December of this year.
As reported by CoinGeek in July 2020, the bank was looking for a technology partner to commence its CBDC pilot in 2021. While inviting applications, it touted the potential of the CBDC, claiming it would increase financial inclusion through ‘efficient and secured payments.’
The bank announced in a press release published on March 23, “After an extensive procurement process, eCurrency Mint has chosen to support us in testing the CBDC solution in the Bank’s Fintech Regulatory Sandbox between May and December 2021. eCurrency Mint will also be the provider when the national CBDC roll-out begins in early 2022.” The project will allow the bank to test the CBDC for viability “while ensuring adequate c