Reps Move To Probe Cryptocurrency And Digital Asset Transactions

The probe will reveal threats to the country's security as well as holes in legislation, rules, and the legislative framework.
House of Reps plenary session
House of Reps plenary sessionGuardian

The House of Representatives has decided to look into how the existing state of cryptocurrencies, blockchain, and other digital asset transactions affects national security.

This came after a motion made yesterday at the plenary in Abuja by Representative Isiaka Ibrahim (APC-Ogun) was adopted.

Isiaka who moved the motion, stated that there are rising global worries about the national security implications of cryptocurrency transactions via cryptocurrency exchanges, including consumer and investor security.

He said, these transactions allow terrorists and criminals to launder money for their illegal operations.

After adopting the motion, the House said that it would look at cloud computing, payment gateways and platforms, international money transfer companies, Network infrastructure, peer-to-peer (P2P) online marketplaces, utility sharing-based platforms, and their practices in Nigeria.

Legislators stated that the probe will reveal threats to the country's security as well as holes in legislation, rules, and the legislative framework.

The house said that it will also look into the present state of the e-naira on the international cryptocurrency platform, as well as the expenses paid, procedures followed, and legal compliance in the creation of the digital currency.

The legislators stated that it was necessary to dissect the characteristics of the industry's operators, including the legal standing of their parent companies, and level of conformity with current laws.

The house said that an investigation will be conducted to look into their involvement in offenses against Nigeria, such as money laundering, illegal transactions, currency speculation, and unethical behavior.

Additionally, the House decided to oversee the National Security Adviser's office, as well as other pertinent organizations and cryptocurrency exchanges, in their efforts to track down and retrieve assets or funds that have been laundered or illicitly obtained.

The lawmakers stated that the government will investigate cryptocurrency exchanges and other entities with equity, probity, openness, the rule of law, and international best practices.

The House forwarded the subject to the Committee on National Security and Intelligence, which will report back to the House for further consideration.

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