Nigeria's Central Bank Calls for Bitcoin Regulation

Nigeria’s central bank has reportedly called for Bitcoin in an attempt to stop money laundering and avoid international penalties.

Dr. Okwu Nnanna, Deputy Governor of the Central Bank of Nigeria (CBN) for Financial Stability, said at the Second Anti-Money Laundering and Countering Financial Terrorism Seminar in Abuja, the country’s capital.

"Virtual currency is dangerous because it is not legal tender in any country, so it is borderless and cannot exercise jurisdiction, which makes Bitcoin a channel for money laundering."

The meeting was organized by the Association of Anti-Money Laundering Experts and also included comments from Obot Akpan, deputy director of the Financial Policy and Management Department of the Central Bank of Nigeria. Akpan added:

“The Financial Action Task Force (FAFT) notes that virtual currency payment products and services (VCPPS) present opportunities for money laundering and other crimes. Virtual currencies present a wide range of issues and challenges that financial institutions will have to consider, which are unprecedented and require an urgent response from regulators.”

Last month, Brazilian congressman Manoel Junior proposed a public hearing to discuss Bitcoin and digital currency regulation.