By Alexander Chiejina
“In the coming decade, we predict that the development of blockchain technology will become a crucial differentiator for national economies and a crucial indicator of global competitiveness for luring FDI, fostering innovation, and generating jobs. The blockchain business in Nigeria has thus reached a crucial milestone,” Anjarwalla said in a recent media interview.
The Federal Executive Council further directed relevant regulatory authorities to build regulatory instruments for the deployment of Blockchain Technology across various sectors of the economy, according to the statement, which details how the National Blockchain Policy would be put into practice. Among them are NITDA, the Nigerian Communications Commission (NCC), the Securities and Exchange Commission (SEC), the National Universities Commission (NUC), and the Central Bank of Nigeria (CBN).
Additionally, NITDA is mandated to oversee the policy's coordination of actions under the Federal Ministry of Communications and Digital Economy. A multi-sectoral steering committee has also been authorised to manage the policy's implementation.
In his reaction, Senator Ihenyen, lead partner at Infusion Lawyers where he directs the blockchain & virtual asset practice, said that the absence of legislative support is one of the biggest obstacles to the policy's successful implementation. Notably, no legal framework requires any of these regulatory bodies to provide regulatory tools to implement blockchain technology across diverse Nigerian economic sectors.
The National Information Technology Development Agency Act of 2007 severely restricts NITDA's ability to instruct or even coordinate key entities to carry out the policy, among other things. The Ministry of Communications and Digital Economy is in the same boat, Ihenyen said.
He pointed out that the implementation of the policy has two main facets, for instance, from the perspective of the CBN. One is good and the other is bad.
Positively, the introduction of eNaira, a central bank digital currency that uses blockchain technology to enhance—or at least expand—payments, can be regarded to be the CBN's first step toward implementing a blockchain strategy in Nigeria's banking and financial system. The CBN's present anti-cryptocurrency position will negatively assure that blockchain technology use cases involving cryptocurrencies, especially decentralised cryptocurrencies like bitcoin, Ethereum, Litecoin, and others, do not flourish.
Blockchain is useful for business transactions between entities. Permissioned users using distributed ledger technology can access the same data concurrently, enhancing efficiency, fostering trust, and reducing friction. It is noteworthy to state that Nigeria joins countries such as the United Kingdom, Denmark, Switzerland, Estonia, Georgia, Singapore, and the United Arab Emirates in legalising and approving blockchain technology.
- National Blockchain Policy to promote e-governance
“In the coming decade, we predict that the development of blockchain technology will become a crucial differentiator for national economies and a crucial indicator of global competitiveness for luring FDI, fostering innovation, and generating jobs. The blockchain business in Nigeria has thus reached a crucial milestone,” Anjarwalla said in a recent media interview.
The Federal Executive Council further directed relevant regulatory authorities to build regulatory instruments for the deployment of Blockchain Technology across various sectors of the economy, according to the statement, which details how the National Blockchain Policy would be put into practice. Among them are NITDA, the Nigerian Communications Commission (NCC), the Securities and Exchange Commission (SEC), the National Universities Commission (NUC), and the Central Bank of Nigeria (CBN).
Additionally, NITDA is mandated to oversee the policy's coordination of actions under the Federal Ministry of Communications and Digital Economy. A multi-sectoral steering committee has also been authorised to manage the policy's implementation.
In his reaction, Senator Ihenyen, lead partner at Infusion Lawyers where he directs the blockchain & virtual asset practice, said that the absence of legislative support is one of the biggest obstacles to the policy's successful implementation. Notably, no legal framework requires any of these regulatory bodies to provide regulatory tools to implement blockchain technology across diverse Nigerian economic sectors.
The National Information Technology Development Agency Act of 2007 severely restricts NITDA's ability to instruct or even coordinate key entities to carry out the policy, among other things. The Ministry of Communications and Digital Economy is in the same boat, Ihenyen said.
He pointed out that the implementation of the policy has two main facets, for instance, from the perspective of the CBN. One is good and the other is bad.
Positively, the introduction of eNaira, a central bank digital currency that uses blockchain technology to enhance—or at least expand—payments, can be regarded to be the CBN's first step toward implementing a blockchain strategy in Nigeria's banking and financial system. The CBN's present anti-cryptocurrency position will negatively assure that blockchain technology use cases involving cryptocurrencies, especially decentralised cryptocurrencies like bitcoin, Ethereum, Litecoin, and others, do not flourish.
Blockchain is useful for business transactions between entities. Permissioned users using distributed ledger technology can access the same data concurrently, enhancing efficiency, fostering trust, and reducing friction. It is noteworthy to state that Nigeria joins countries such as the United Kingdom, Denmark, Switzerland, Estonia, Georgia, Singapore, and the United Arab Emirates in legalising and approving blockchain technology.