Following the volatility of Virtual Assets Service(VAS) and the attendant risks, the House of Representatives has inaugurated an ad-hoc committee to review the economic, regulatory, and security implications of cryptocurrency adoption and Point-of-Sale (PoS) operations in Nigeria.
Speaker Abbas Tajudeen who stated this while the inaugurating the committee on Monday in Abuja, added that the formation of the committee became necessary to address the growing concerns over fraud, cybercrime, and protect consumer from exploitation in the VAS and other digital finance space.
Tajudeen said that the Nigerian economy has demonstrated resilience over the years, often recovering from recessions and recording impressive growth in non-oil sectors but warned that the inherent vulnerabilities in cryptocurrency operations shouldn’t be ignored
He expressed concerns about the likely misuse of digital assets for terrorism financing and money laundering, citing the opaque nature of cryptocurrency, its weak regulatory frameworks, and lack of accountability as justification for ad hoc committee.
“It is, therefore, safe to conclude that the cryptocurrency trade will thrive in such a robust economic environment,” Abbas said.
“It is because of this absence of clear rules—coupled with the volatility and complexity of the technology—that the House of Representatives found it imperative to establish regulations and consumer protection measures that will govern the activities of Virtual Assets Service Providers, including cryptocurrencies and crypto assets,” he said.
He emphasised that the ad-hoc committee was essential to the House’s oversight functions and would play a key role in shaping legislation for a comprehensive regulatory framework to manage the adoption of digital currencies in Nigeria.
“This Ad-Hoc Committee is, therefore, absolutely necessary. Its main job is to undertake public hearings to collate relevant information from stakeholders that will guide the House in developing legislation for a regulatory framework for the adoption of the currency in our economy,” he added.
Abbas reaffirmed the commitment of the 10th House of Representatives to safeguarding Nigeria and its citizens from negative developments that could derail the economic reforms being implemented by the administration of President Bola Tinubu.
He urged members of the committee to be patriotic in the discharge of their duties and allow national interest to guide their work.
In his remarks, chairman of the committee, Rep. Olufemi Bamisile (APC-Ekiti), described the assignment as one of national significance aimed at striking a balance between financial innovation and national security.
“We have been entrusted with a task of national significance: to review the economic, regulatory, and security implications of cryptocurrency adoption and Point-of-Sale operations in Nigeria,” Bamisile said.
He noted that while digital finance is reshaping global financial systems, Nigeria has seen rapid growth in cryptocurrency and POS operations—offering opportunities for financial inclusion and innovation, but also presenting serious risks.
“These include cybercrime, fraud, money laundering, terrorism financing, and regulatory uncertainty,” he warned.
Bamisile said the committee would focus on developing a legislative and regulatory framework that encourages innovation while protecting citizens and maintaining the integrity of the financial system.
He added that the committee would work closely with key regulatory and security agencies, including the Central Bank of Nigeria (CBN), the Securities and Exchange Commission (SEC), the Nigeria Deposit Insurance Corporation (NDIC), the Nigerian Financial Intelligence Unit (NFIU), the Economic and Financial Crimes Commission (EFCC), the Independent Corrupt Practices and Other Related Offences Commission (ICPC), and the Nigeria Police Force.
The chairman assured that the committee would adopt a consultative and evidence-based approach, engaging a broad range of stakeholders—including regulators, banks, fintech operators, civil society groups, and the security community—through public hearings to gather diverse perspectives.
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