SEC Kicks Off New Capital Market Law: Unregistered Digital Assets & Forex Platforms Banned

SEC Kicks Off New Capital Market Law: Unregistered Digital Assets & Forex Platforms Banned ??

The Securities and Exchange Commission (SEC) has officially launched the implementation of the newly enacted Investments and Securities Act (ISA) 2025, which was signed into law by President Bola Tinubu earlier this month. This landmark legislation brings significant reforms aimed at making Nigeria’s capital market more robust, transparent, and aligned with global standards.

Key changes include:

 • Banning unregistered digital assets and forex platforms ?: Any business operating digital asset exchanges or online forex trading platforms without SEC registration is now illegal.

 • Stronger regulatory powers: SEC now has the authority to oversee securities exchanges, commodity exchanges, digital asset exchanges, and more, ensuring proper oversight across a wider range of market activities.

 • Investor protection measures: The new law expressly prohibits Ponzi schemes and other unlawful investment practices, with severe penalties for promoters.

 • Transparency enhancement: The introduction of Legal Entity Identifiers (LEIs) will improve transparency in capital market transactions.

Dr. Emomotimi Agama, SEC’s Director-General, emphasized that while the law supports innovation, it ensures that developments happen in a regulated environment to protect investors. This reform also brings Nigeria in line with global standards, enhancing the attractiveness of the market.

With new provisions for commodities exchanges, better oversight of financial market infrastructures, and expanded flexibility for sub-nationals, the ISA 2025 is poised to revolutionize Nigeria’s capital market. Experts predict that these changes will unlock a new era of growth for both the capital market and the broader economy. ??