Mariblock Weekly

🟠 Crypto is now a security in Nigeria — what you need to know

Plus: 🌍 Tether teams up with Quidax on blockchain education in Africa 🇿🇦 Yellow Card appoints new South Africa country manager

Nigeria’s president signs bill recognizing digital assets into law

Topline: President Bola Ahmed Tinubu has officially signed the Investments and Securities Act (ISA) 2024 into law, setting the tone for a more structured digital assets ecosystem in Nigeria.

This new legislation replaces the ISA 2007 and brings significant changes, particularly for crypto regulation. (Details)

Key details: Thanks to the new law, cryptocurrencies and other digital assets are legally recognized as securities, bringing them under the Nigerian Securities and Exchange Commission’s (SEC) regulatory oversight.

Virtual asset service providers (VASPs), including exchanges, must comply with SEC guidelines as the law introduces tougher consequences for fraudsters exploiting crypto for scam operations.

Why it matters: Regulations around digital assets in Nigeria have begun to pick up pace in recent years, with the SEC leading the country’s crypto regulatory drive.

In February, Mariblock reported that the SEC was revising existing regulations to allow for the taxation of crypto assets in a revenue generation move.
While it’s unclear if the new act includes provisions for crypto taxation, the SEC has been actively working on regulatory frameworks that allow for monitoring and taxing digital assets.

Key context: In 2023, Nigeria’s central bank allowed banks to work with crypto platforms—only if licensed by the SEC.

The SEC expanded its Accelerated Regulatory Incubation Program (ARIP) to fast-track the approval of VASPs, making Busha and Quidax the first local exchanges to receive provisional licenses under the program.

Tether teams up with Quidax on blockchain education in Africa

Topline: Global cryptocurrency firm and issuer of the stablecoin USDT, Tether, has partnered with African crypto exchange, Quidax. (Details)

Driving the news: Quidax announced that the initiative—aimed at equipping over 15,000 individuals and businesses with practical knowledge of bitcoin and stablecoins—will launch in Nigeria and Ghana before expanding across other African countries.

In addition, Quidax and Tether will launch financial literacy campaigns and community engagement programs to help participants use digital assets effectively.
There is currently no announced date for the program’s commencement.

Why it matters: This development comes at a period in Africa’s crypto history where more global firms are collaborating with and granting local companies to facilitate crypto education and training programs for Africans.

Global crypto exchange Bybit recently partnered with African talent firm Alt School Africa to provide opportunities for Africans looking to upskill in tech.
It also launched a $100,000 scholarship for Alt School’s brightest students and kickstarted the Bybit Academy.
Just days earlier, cofounder of the Sui blockchain’s parent company Mysten Labs, Adeniyi Abiodun, announced a $1.3 million fund to train blockchain software engineers in Nigeria.

Yellow Card appoints new South Africa country manager

Image source: Kamogelo Mosime | Design by Omowunmi Babalola for Mariblock.

Topline: Yellow Card, a leading pan-African exchange, has appointed Kamogelo Mosime as its new South Africa country manager. (Details)

The details: In a social media post announcing his new role, the corporate finance professional expressed his eagerness to advance financial inclusion in Africa via Yellow Card’s platform.

Yellow Card confirmed Mosime’s status as head of its South African operations, stating that he will oversee the exchange’s operations in South Africa and strengthen its position in the country.

Zoom out: Yellow Card continues to expand its presence in Africa.

Last year, the exchange raised $33 million in Series C funding to expand its business-to-business product offerings.
It also secured a Financial Sector Conduct Authority (FSCA)-issued license to operate legally as a financial services provider in South Africa last November.

In our second edition of Sidebar, a Q&A series spotlighting voices shaping Africa’s blockchain future, we spoke with Alex Witt, of Verda Ventures, about the $40 million Minipay fund his firm manages and the firm’s broader strategy.