The House of Representatives has taken a significant step towards safeguarding national security by launching an investigation into the implications of cryptocurrency, blockchain, and digital asset transactions. This decision, prompted by concerns raised by Rep. Isiaka Ibrahim (APC-Ogun), reflects a growing global awareness of the risks associated with these transactions, including potential threats to consumer and investor security.
Cryptocurrency exchanges have become a breeding ground for money laundering activities carried out by criminals and terrorists, posing a serious threat to national security. The House of Representatives has committed to investigating various aspects of this issue, including international money transfer operators, payment gateways, cloud computing, and online peer-to-peer marketplaces operating in Nigeria.
In addition to identifying potential threats to national security, the investigation will also focus on gaps in existing legislative frameworks and regulations that may be exploited by malicious actors. The House will scrutinize the creation of the E-Naira, Nigeria’s digital currency, to ensure compliance with statutory requirements and assess the cost and processes involved in its implementation.
Furthermore, the House has pledged to engage with stakeholders to develop the necessary legislation and regulations to address these challenges effectively. Operators in the cryptocurrency sector will be closely examined to determine their legal status, parent companies, and compliance with existing laws. Any involvement in illicit activities such as money laundering, currency speculation, or other malpractices will not go unnoticed.
Moreover, the House has committed to collaborating with the office of the National Security Adviser and other relevant agencies to track and recover illicit funds or assets. Upholding principles of equity, transparency, and the rule of law, the government will ensure that international best practices are followed in investigating cryptocurrency exchanges and related entities.
This proactive approach by the House of Representatives underscores the importance of addressing the national security implications of cryptocurrency transactions. By taking decisive action and engaging with stakeholders, Nigeria is poised to strengthen its regulatory framework and protect its citizens from potential threats posed by digital assets.
