In collaboration with Blockstation Incorporated under the Regulatory Incubation (RI) Programme, NASD engaged with the SEC to shape a regulatory framework for crypto/digital assets. As a technology partner, Blockstation will provide a robust enterprise blockchain-driven platform, introducing and promoting the significance of regulated tokenized Initial Public Offerings (IPOs), commonly referred to as Security Token Offerings (STOs).

The SEC will regulate the operations of the N-DSP during the RI Program, with active participation from institutions such as custodians, brokers, and issuing houses.

This milestone marks a substantial stride towards fostering innovation in the capital markets, enhancing transparency, and deepening trust and inclusion within the Nigerian financial landscape. The move comes on the heels of the Central Bank of Nigeria (CBN) lifting the ban on digital asset trading, including cryptocurrencies, last month.

Eguarekhide Longe, the Managing Director of NASD Plc, emphasized the potential of the platform in attracting new investors to the capital market through appealing digital offerings. He stated, “Our objective is to empower millions of young investors with access to promising digital assets, ensuring they can confidently purchase in a completely compliant and secure investment environment. Nigeria currently ranks second globally for blockchain wallets, and our Exchange is poised to support high-quality assets thriving on the blockchain.”

Through this innovative approach, NASD is providing issuers with a gateway to raise capital from the public using digital assets, marking a groundbreaking initiative in the evolving landscape of Nigeria's financial markets.