🌍 West Africa Emerges as Epicentre of Crypto Adoption – SEC Boss Raises Concerns

 

By D.1Universe Studio | August 4, 2025

The growing influence of cryptocurrency across West Africa is drawing global attention — and caution — as Nigeria takes center stage in digital finance trends. The Acting Director General of the Nigerian Securities and Exchange Commission (SEC), Dr. Emomotimi Agama, has expressed concern over the region’s surging crypto activity, warning that it could pose serious financial and security risks if not properly regulated.

Speaking at a recent stakeholders' event, Dr. Agama emphasized that while blockchain and crypto technologies present valuable innovations, West Africa — and Nigeria in particular — has become a “hotspot” for unregulated crypto transactions. He cited recent reports estimating that Nigerians conducted over $56 billion worth of crypto transactions in 2024 alone, a large portion of which occurred outside licensed financial institutions.

> “Crypto has become more than just an investment—it’s now being used for cross-border payments, salary settlements, and unfortunately, illicit transactions,” Dr. Agama stated.

🚀 Why Is Crypto Exploding in West Africa?

A combination of high youth unemployment, inflation, naira devaluation, and restricted foreign exchange access has pushed many young Nigerians toward digital assets like Bitcoin, Ethereum, and USDT as a store of value and means of financial empowerment.

Stablecoins in particular have gained popularity, allowing freelancers, traders, and businesses to bypass traditional banking limitations. Platforms like Binance, KuCoin, Paxful, and peer-to-peer (P2P) apps have made it easier for Nigerians to move money globally — without relying on central banks.

> “I get paid in USDT, convert to naira on Binance P2P, and I don’t even use the bank much anymore,” said Emeka, a 24-year-old Lagos-based freelance designer.

⚠️ The Warning Signs

However, Dr. Agama noted a surge in scams, ponzi schemes, money laundering, and terrorism financing tied to anonymous crypto activities. With Nigeria’s financial ecosystem still adjusting to the fast pace of innovation, the SEC is calling for more robust regulations, digital identity verification, and public awareness.

“West Africa’s position as a crypto leader comes with great responsibility,” he warned.

The SEC, in collaboration with regional and global financial bodies, is now exploring strategies to balance innovation with protection, including:

Licensing crypto exchanges and platforms

Enforcing KYC/AML (Know Your Customer / Anti-Money Laundering) rules

Educating the public about crypto risks and safe use

🧑‍💻 What This Means for Young Nigerians

As the digital economy continues to evolve, young Nigerians remain both key drivers and potential victims of the crypto boom. While opportunities for wealth-building and global commerce are increasing, so are the threats of fraud and market volatility.

Experts recommend using regulated platforms, avoiding offers that sound too good to be true, and staying informed about crypto policies from reliable sources.

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> 🔗 Source: Nigeria Communications Week

"West Africa Emerging as Crypto Adoption Ep

icentre – SEC Boss"

Published: August 4, 2025