NIGERIA Law and Practice Contributed by: Tiwalola Osazuwa, Peretimi Akinmodun, Lazarus Uwa Kalu and Mubaraq Popoola, ǼLEX
sumer Protection Regulations 2019 and the Consumer Protection Framework 2016 and in the telecommunications industry, there is the Nigerian Communications (Consumer Code of Practice) Regulations 2024. Upholding Consumer Rights in the Digital Economy To uphold consumer rights in the digital econ - omy, companies should implement internal policies that will ensure that they comply with applicable consumer protection legislation and embrace transparency and fairness in their deal - ings with consumers. Legal Frameworks for the Resolution of Consumer Complaints in the Digital Economy A consumer can file a complaint via the FCCPC’s consumer portal. In addition to the portal, con - sumers can also file complaints through other channels such as email, letter, or in-person vis - its. The NCC, the CBN and other regulators have similar procedures for the filing of complaints. Handling Consumer Disputes Effectively To handle consumer disputes effectively, TMT companies should: • set up an effective consumer dispute resolu - tion procedure for receiving and resolving complaints from consumers; • have a specified timeframe for the resolution of disputes; • acknowledge complaints received and state the timeframe within which a response will be made available; • in the event of delays in resolving any dispute, state the reason for the delay including the status of the resolution in the event that the complaint remains unresolved at the expira - tion of the prescribed timeframe;
• be transparent and ensure that they inform the affected consumer(s) of the status of the dispute resolution at all times; and • comply with the provisions of applicable legislation. 1.5 The Role of Blockchain in the Digital Economy Cryptocurrencies and blockchain technology have impacted the legal landscape, necessitat - ing the creation of new regulations. Some key effects include the following. Regulation The SEC has introduced rules to regulate digital assets and expanded its regulatory incubation programme to accommodate entities providing services related to cryptocurrencies and other forms of digital assets. The regulation of cryp - tocurrencies has led to the creation of different licence categories for various VASPs. Taxation The Finance Act 2023 amended the relevant tax laws in Nigeria. Notably, the Capital Gain Tax Act was amended to include digital assets as chargeable assets for CGT purposes. In essence, cryptocurrencies are now classified as property, thereby requiring the payment of capital gains at the rate of 10% on sales of cryptocurrencies. Challenges Classification There is legal ambiguity over whether cryptocur - rencies are securities, commodities, or curren - cies, thereby impacting their treatment under the law and ascertaining the relevant regulator. Anonymity v KYC/AML laws The pseudonymous nature of cryptocurrencies presents a significant challenge with respect to compliance with KYC and AML laws.
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