GIGX, 8 Other Fintechs Get SEC Nod For Accelerated Incubation Programme

The Securities and Exchange Commission (SEC) of Nigeria has cleared GIGX Technologies, KuCoin Nigeria Limited and seven other Virtual Asset Service Providers (VASPs) for admission into its Accelerated Regulatory Incubation Programme (ARIP), allowing them to begin operating within its regulatory sandbox after receiving Approval-in-Principle.

The Commission in a statement said the ARIP reinforced its commitment to fostering responsible innovation that deepens Nigeria’s capital market while safeguarding investor interests.

The approvals granted GIGX and KuCoin follows an earlier clearance of seven other entities into the ARIP in efforts to foster responsible innovation that deepens Nigeria’s capital market while safeguarding investor interests. The other seven entities are:

Bitbarter Technologies Limited

Luno Fintech Nigeria Limited

GetEquity Limited

Koinkoin Global Network Limited

Wrapped CBDC Ltd

Trovotech Ltd

Blockvault Custodian Ltd

A VASP is any business that facilitates crypto-related activities, such as exchanging, transferring, safekeeping, or managing digital assets like cryptocurrencies and NFTs.

They are subject to strict global guidelines set by the Financial Action Task Force (FATF) regarding Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT).

In Nigeria, SEC regulates the industry through ARIP, granting approved platforms an Approval-in-Principle (AIP) permitting them to operate legally within the defined scope of the Programme and subject to conditions stipulated by the Commission.

An Approval-in-Principle confirms that an entity has satisfied the Commission’s admission requirements for the Programme.

ARIP is an innovative regulatory environment designed to fast-track the on-boarding of digital asset and other investment service providers (like Virtual Asset Service Providers and tokenized product platforms) through a controlled regulatory sandbox.

It allows the Commission to assess novel business models and technologies in a controlled regulatory environment to ensure that appropriate safeguards are in place to protect investors and preserve market integrity before these products and services are offered to the investing public.