Favour Ozioma Ogbodo
A financial analyst, Mr Olatunde Oluwatuyi, has applauded the Central Bank of Nigeria (CBN) for lifting the ban on Virtual Asset Service Providers (VASPs), saying it means more business opportunities for Nigerians.
Virtual Asset is a digital representation of value that can be digitally traded, or transferred, and can be used for payment or investment purposes such as cryptocurrencies.
In February 2021, the CBN barred banks and financial institutions from dealing in or facilitating transactions in crypto assets, citing money laundering and fraudulent activities.
Reacting to the ban lift, Oluwatuyi, in a phone interview with African Health Report (AHR), said, “Before, banks could open account for virtual asset providers and freely do crypto services until it became a risk management issue when investors were not getting expected return.
”There are different types of ban. The absolute ban and the relative ban. In the relative ban, you can still trade as a crypto agent but CBN placed an absolute ban which means there’s no trade at all and any bank caught will pay heavily.
”CBN wanted to revamp and regulate the system and so a ban was placed. It succeeded in regulating that space and now is ban is lifted. This means more employment opportunities, creates avenue for tax and it showing we are evolving to global standard.
”Crypto traders will register through Security and Exchange Commission, get licensed and company management approval,” he said.
