ChainCatcher news, according to Cointelegraph, in view of a recent court ruling in Illinois that classified Bitcoin and Ethereum as commodities, Nigerian stakeholders urged the Nigerian SEC to adopt a similar approach in its regulatory framework. As cryptocurrencies play an increasingly important role in the global financial sector, people call for a clear and proper classification of cryptocurrencies. LuckyUwakwe, chairman of the Blockchain Industry Coordination Committee of Nigeria (BICCoN), emphasized the importance of clearly defining the crypto asset class in an interview.

LuckyUwakwe said that this approach will provide creators with clear guidelines on where they should seek regulation. The Nigerian SEC should bear in mind the need to formulate rules that define the asset class of crypto assets or subdivide the corresponding cryptocurrencies into asset classes and explain to the public how such cryptocurrencies qualify as securities or commodities.

Uwakwe noted that while both the SEC and the Commodity Futures Trading Commission (CFTC) agree that Bitcoin and Ethereum are commodities, the distinction between proof-of-stake (PoS) and proof-of-work (PoW) protocols could change the classification of a particular crypto asset.