The Nigerian Bureau De Change Association has called out speculators as responsible for the destabilization of the country's local currency.
Inflation rates on the Nigerian naira have been at an all-time high over the last few years, so much that it has just recently reported that one dollar is equivalent to N500. Alongside this, we will see several other updates on crypto regulations in Uganda and Kenya.
Major Updates
- BDC proposes CBN funding against Naira destabilization.
- BDC suggests the CBN sells dollars at N393.
- The new Kenyan crypto regulatory sandbox receives accolades.
- The Ugandan FIA urges for enhanced crypto regulation.
Nigeria
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The Nigerian Bureau De Change Association has just blamed speculators for the recent currency problems facing the Naira. The ABCON has proposed a solution to this; as stated by the president of the body Aminu Gwadabe, the Central Bank is to direct funding towards the BDC.
The BDC is also urging the CBN to reduce the dollar rate, typically at 411 per unit. However, they propose the dollar is provided to them at N393 per unit.
Kenya
As for regulatory updates in Kenya, the new regulatory sandbox is receiving accolades for its successful performance rates. It has been commended that this new regulatory system has bridged a wide gap and enhanced interactions with national innovators.
So far, the regulatory sandbox has received numerous proposals, queries, and applications since its launch in March 2019.
However, when it came to blockchain innovators, the hurdles faced have been the lack of sufficient information and risk management strategies. This has proven the blockchain sector to be weaker in performance in comparison to other successful interactions.
Uganda
Uganda's Financial Intelligence Authorities (FIA) is urging the government to set up a crypto regulatory body to check many agencies and their requirements to operate. This is an effort to curb the prevalence of criminal activities.
As said agencies continue to operate without abiding by the FIA’s proceedings requirements, it has created a vital need for a more expert-based view on cryptocurrencies.
Ultimately the FIA is concerned with areas of money laundering and other related crimes in Uganda.
An example was cited, a report by Cointelegraph surrounding various crypto scams taking rounds in Uganda in a token called Dunamiscoin. It was a Ponzi scheme that has resulted in massive losses amongst over 5000 victims.
What is your take on the current situation of Nigerian currency?
