TheCable

The Securities and Exchange Commission (SEC) says its recent activity on the classification and treatment of digital assets is aimed at improving investors’ protection not stifling businesses.

SEC recently announced its intention to regulate digital assets.

Speaking on the directives, Emomotimi Agama, SEC head of registration, exchanges, market infrastructure and innovation, said: “The first thing the SEC bothers about is investor protection”.

“This is no different from what we have been doing. We are looking at investor protection, integrity, transparency and of course we want to make sure that the market is safe and everyone is comfortable with what is going on in the investment climate.”

Agama said the commission launched the Fintech road map and blockchain virtual financial assets committees to guide its activities in the digital assets space.

“These committees are both market-wide and principally done to engage the market, to be able to have discussions with the market and get their buy-in into what we are doing,” he explained.

“What we found out today is that a lot of persons, youths are all involved in this space and it is important that even as far as that is the case, the SEC lives up to the expectations and making sure that those people that are getting into the business are protected

“Clearly, that is our aim and the market is part of this and indeed the feedback has been wonderful. People are happy with what we are doing, being able to provide some clarity as to where we stand in terms of digital assets regulation.

“Digital assets are the next thing, our idea is not to stifle innovation, but to promote innovation within a reasonable space and that is exactly what we are doing.

“Section 13 of the ISA empowers us to do this and so we are doing what we have been empowered to do by law.”

Agama said the commission is working with the Cambridge Centre for Alternative Finance (CCAF), World Bank and other institutions to meet the challenges of the fast-changing digital financial world.