The Securities and Exchange Commission (SEC) has granted approval to Busha Digital Limited and Quidax Technologies Limited to operate as cryptocurrency exchanges in Nigeria. The two firms received the nod under the SEC's Accelerated Regulatory Incubation Program (ARIP).
Busha Digital Limited operates a digital exchange that enables users to buy, sell, store, and trade cryptocurrencies using fiat currency. Its mobile and web applications cater to individuals and businesses in Nigeria and other developing economies.
Quidax Technologies Limited, on the other hand, operates a cryptocurrency trading platform that leverages blockchain technology to list and trade crypto tokens. Its users can store, receive, and transact in various cryptocurrencies using a digital wallet.
The SEC's approval underscores its commitment to fostering innovation while ensuring investor protection. The ARIP program aims to strategically onboard firms that commenced operations before the release of the Rules on Virtual Asset Service Providers in May 2022.
In a related development, the SEC has admitted five firms to its Regulatory Incubation Program, which assesses cryptocurrency firms' business models and tests innovative products in a real-time market environment. The admitted firms are Trovotech, Wrapped CBDC, (link unavailable), Dream City Capital, and Blockvault Custodian.