News
Nigeria House of Representative Calls for The Understanding of Blockchain Technology Before Regulation.
The adoption of Cryptocurrency is spreading like wide fire as countries are setting up regulations to support its usage. Nigeria is set to join the league of early adopters. Hon. Solomon Adeelu has called for a motion to lay down regulations to help the integration of the blockchain technology and cryptocurrencies.
The Hon. who is representing the city of Obingwa, in Abia state filed a motion on “the need to
regulate blockchain technology and the 
internet of things.” He called on the house that there was a need to first and foremost understand the technology before regulating its use. The senator who believes that the technology has the potential of eradicating poverty from the African continent was full of praise for the technology which he described as “the most disruptive technology man has seen.”
While making a reference to the recently concluded G20 Finance Leaders’ Summit in Bueno Aries, Argentina, he explained that cryptocurrency is not a threat to the world’s financial system. Also referencing the IMF’s July deadline for the regulation of the cryptocurrency. Hon. Solomon believes that Blockchain and cryptocurrency is the future of exchange, data transfer and storage. He also mentioned that the US is ahead of other countries as well as legislators of countries such as UK, Russia, Kenya, Venezuela deliberating and laying down rules on its adoption.
His basics for his call on regulation is as follows:
“The technology is driven by digital transformation. It is one of the technologies every government in the world is cautious about at the moment. It is so revolutionary and disruptive that it has the ability to democratize the issuance of currency. All over the world, the only issuing authorities are the government and their central banks. It is only the government of Nigeria and the central bank that can print naira note, issue it as a legal tender and it becomes a means of exchange for goods and services amongst Nigerians. That monopoly is about to be taken away from the government and given to the people, that is how disruptive this technology is. That is why all major banks in the world are trying to implement this technology into their already existing banking system.”
The Benefits of the Blockchain
Hon. Solomon laid some basic benefits the technology offers, which includes; transparent dealings, recording of all transactions and Data storage. It has the ability to carry out transactions without an intermediary such as a bank.
He called for the house to invite the relevant bodies such as the CBN Governor, Ministry of Finance, SEC, NDIC and the Ministry of Science and Technology to shed more light on the usefulness and benefits of the Blockchain technology. Also urging the house set up a committee on blockchain and internet of things to interface with relevant stakeholders.
He also urged the Central Bank of Nigeria, CBN instead of banning the outright trade using the platform, but rather calls for enlightenment about the best implementation and usage of the technology. He insisted that the legal framework should be put in place and the CBN to engage technological experts and cryptocurrency enthusiasts to educate the national assembly on the benefits of the blockchain technology to enable them to engage appropriate legislatures.
A bright future lies ahead for the blockchain technology in Nigeria as the motion was seconded by Hon. Segun Alex Adekola of Ekiti South Constituency 1. We are looking forward to seeing an adoption of all the points the Senator raised.
Do you think the CBN will be less rigid on its stance on cryptocurrencies as well as open its arms to blockchain adoption? Let’s hear from you in the comment section below.
Featured Image: Dailypost
