Group launches framework for Crypto regulation
A Pan-African industry association, The Virtual Asset Service Providers Association (VASPA), has unveiled Project Green-White-Green, a whitepaper proposing measures to integrate virtual asset transactions into Nigeria’s formal economy. VASPA Executive
A Pan-African industry association, The Virtual Asset Service Providers Association (VASPA), has unveiled Project Green-White-Green, a whitepaper proposing measures to integrate virtual asset transactions into Nigeria's formal economy.
VASPA Executive Chair and Chief Executive Officer of Boundlesspay, Franklin Peters, said the proposal was designed to address regulatory and operational challenges in the sector while capturing an estimated $92.1 billion in annual virtual asset transaction volume.
Peters said one of the proposals under the association's market integrity pillar was a foreign exchange alignment standard aimed at improving coordination among regulators.
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He also noted that the framework will address regulatory overlaps involving the Securities and Exchange Commission (SEC), Central Bank of Nigeria (CBN), and Corporate Affairs Commission (CAC).
“This coordinated superhighway aims to end the fragmented oversight that sees operators bouncing between the SEC, CBN, and CAC.
“By resolving the chicken-and-egg paradox, where the CAC won't incorporate a business without a SEC licence, and the SEC won't license without incorporation, the project clears the path for indigenous Web3 startups to flourish legally,” Peters said.
According to him, the project also recommends integration with the National Identity Management Commission (NIMC) to ensure that participants in the sector are properly identified.
He added that although the project was developed for Nigeria, similar frameworks could be introduced in other African markets.
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“We are no longer waiting for the future of finance to happen to Nigeria; we are architecting it,” Peters said.
He said the initiative also includes proposals on taxation and revenue generation as the Federal Government pursues its economic growth targets.
“As the Federal Government pursues an ambitious goal of a $1 trillion economy by 2030, the question of where will the revenue come from looms large,” he said.
Project Manager, Favour Uche, described the whitepaper as the result of legal, technical and economic consultations.
Uche said the proposal includes an API-driven system that would automate Value Added Tax (VAT) and Capital Gains Tax (CGT) deductions at the point of transaction.
“We didn't just compile industry feedback, but articulated and aggregated them into the frameworks proposed, ensuring alignment with national interest,” she said.
