CBN sets N15bn capital requirement for dollar stablecoins
The Central Bank of Nigeria has introduced a minimum paid-up capital requirement of N15bn for companies issuing foreign currency-backed stablecoins, including those pegged to the United States… Read More: https://punchng.com/cbn-sets-n15bn-capital-requirement-for-dollar-stablecoins/
The Central Bank of Nigeria (CBN) has announced a minimum paid-up capital requirement of N15 billion for companies issuing dollar-backed stablecoins, effective from the regulations released on Friday. These new guidelines, outlined in the Regulations for the Operations of Non-Security Virtual Assets in Nigeria, also set a lower threshold of N10 billion for entities issuing naira-referenced stablecoins, classified as Class 1.
The capital requirements are designed to mitigate risks associated with virtual assets and digital payment services, differentiating between stablecoin issuers and other service providers. Operators must maintain their capital separately from other reserves, and failure to meet the minimum could result in regulatory restrictions.
The CBN emphasized the importance of these measures in safeguarding the financial stability of Nigeria's virtual asset ecosystem.
Brief written by urgent.news from Punch Nigeria's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
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