PANews reported on December 19 that according to Cointelegraph, the Nigerian Securities and Exchange Commission has updated its crypto rules, adding requirements for crypto-related marketing promotions by virtual asset service providers (VASPs) and social media influencers. In the revised digital asset rules, the regulator stated that VASPs that work with third-party service providers to promote their crypto products must "obtain prior approval from the Commission." The rules also require VASPs to ensure that third-party providers comply with marketing rules established by the SEC. The rules apply to any VASP that provides services to residents of the country and are scheduled to take effect on June 30, 2025.
The amendment to the rules also addresses the role of social media influencers in promoting cryptocurrency products and services. Crypto influencers must obtain a “no objection authorization” from the Nigerian Securities and Exchange Commission before posting digital asset advertisements. In addition, they must also verify whether the company they promote is licensed by the Nigerian Securities and Exchange Commission. Financial influencers must also disclose whether they receive compensation for promoting the crypto products or services they promote. Failure to comply may result in penalties such as a minimum fine of 10 million Nigerian naira (about $6,400) or up to three years in prison.
