The post MiCA stablecoin rules win approval from Nigeria’s crypto community appeared on BitcoinEthereumNews.com.

Nigeria’s crypto community is excited about Europe’s new Markets in Crypto-Assets Regulation (MiCA) stablecoin rules. They see it as a positive step that could help protect their local currencies and encourage the growth of crypto projects. Nigerian data and policy analyst Obinna Uzoije shared his views with Cointelegraph, pointing out the benefits that the Economic Community of West African States (ECOWAS) could gain by adopting a similar regulatory approach. President Bola Ahmed Tinubu of Nigeria Uzoije highlighted that stablecoins are currently the most widely used type of crypto assets. He noted that in Africa, especially, there are more transactions using stablecoins than any other digital asset. With the MiCA’s “Stablecoins Regime” taking effect on June 30, this regulation marks a significant step in crypto asset regulation in Europe and potentially beyond. Nigerians see opportunity in MiCA’s framework The new MiCA rules mean that issuers and other entities must obtain a MiCA license to offer or trade asset-referenced tokens (ARTs) or e-money tokens (EMTs) within the European Union. There is no transitional period for these rules. Uzoije believes that under President Bola Tinubu’s leadership, ECOWAS has the perfect chance to create a similar regulatory framework for crypto projects in West Africa. “This could attract more investors by addressing regulatory uncertainty, one of the significant global drawbacks of crypto investment.” Obinna Uzoije Some ECOWAS countries, like Sierra Leone, have strict or outright bans on cryptocurrencies. A unified regulatory framework across ECOWAS’s 15 member states could help ease these restrictions. It would offer potential crypto investors much-needed clarity and simplify investments across the region by eliminating the need to comply with multiple national regulations. Nigeria’s crypto market growth despite challenges Despite significant regulatory uncertainties, Nigeria’s cryptocurrency market has surged above $400 million. This was highlighted by the Director General of the Security and…

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Filed under: News - @ June 30, 2024 8:06 pm