"Blockchain and Tokenisation: Unlocking Economic Growth and Asset Management in Nigeria – NITDA DG"
By Gloria Sarauniya Usman
ABUJA, NIGERIA October, 2024 -
The Director General of the National Information Technology Development Agency (NITDA), Kashifu Inuwa CCIE, has called for collaborative efforts between industry players, government, and experts to harness the transformative power of Blockchain technology in boosting asset management and driving economic growth in Nigeria.
Speaking at the Tokenised Economic Conference and Exhibitions themed “Tokenised Economy 2024: Real-World Assets Tokenisation,” organized by Cyberchain in partnership with BAZE University and NITDA, Inuwa highlighted the significant role of technology in enabling the nation's GDP growth. The event served as a platform for professionals to explore opportunities in digital assets finance, capital markets, commodities, real estate fractional ownership, and other sectors.
In his keynote speech, Inuwa, represented by Engr. Salisu Kaka, Director of e-Government and Digital Economy Development at NITDA, emphasized the advantages of Blockchain technology in transforming asset management through tokenisation. He explained that tokenisation involves converting physical or digital assets into digital tokens recorded on a blockchain, enabling these assets to be traded more securely and efficiently.
“Tokenisation simplifies asset management by issuing Blockchain tokens as digital and legal representations of real assets. This process enhances liquidity, accessibility, and transparency while reducing barriers to investment,” Inuwa stated.
Using real estate as an example, Inuwa pointed out how tokenisation could address inefficiencies in property transfer and record-keeping. The automated nature of Blockchain technology could increase liquidity, lower investment thresholds, and improve transparency, making it a promising tool for the future of real estate markets.
He further commended Lagos State's initiative to tokenise real estate, calling it a pioneering move that could serve as a model for other states. Inuwa also encouraged the tokenisation of other sectors like agriculture, oil and gas, and securities to accelerate wealth creation and economic development.
Inuwa stressed the importance of establishing a regulatory framework that fosters investor confidence and strong infrastructure to support the tokenised economy. Since the launch of the National Blockchain Policy, NITDA has been working closely with industry stakeholders to promote the adoption of Blockchain technology across various sectors in Nigeria.
He concluded by stating that tokenisation of real-world assets could unlock Nigeria's economic potential, and the country could position itself as a leader in Africa’s tokenised economy by investing in education, infrastructure, and a supportive regulatory environment.
The Director General of the Securities and Exchange Commission (SEC), Dr. Emomotimi Agama, also shared his insights, noting that tokenisation breaks down traditional investment barriers, making assets like real estate and art more accessible to a broader audience, thus democratizing wealth and encouraging inclusive financial participation.
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