Nigerian Bitcoin advocate James Otudor has filed legal challenges to the African country’s government’s restrictions on the ownership, use and trading of Bitcoin, Tether (USDT) and other cryptocurrencies, according to an August 9 statement.
Otudor said:
“This lawsuit represents a peaceful protest for financial freedom and inclusion. As a nation founded on human rights, it is our responsibility to ensure that the rights of users and holders of Bitcoin, USDT, and other digital assets are protected and guaranteed.”
The lawsuit comes amid increasingly strict cryptocurrency regulations in Nigeria. Major cryptocurrency trading platforms like OKX have exited the market and the Nigerian naira has been removed from cryptocurrency exchanges operating in the country.
The lawsuit targets several high-ranking government officials and regulatory bodies, including Nigeria’s president, finance minister, attorney general, the Central Bank of Nigeria (CBN) and the Nigerian Securities and Exchange Commission (SEC).
Additionally, the Economic and Financial Crimes Commission (EFCC), the Nigeria Police Force, the National Information Technology Development Agency (NITDA) and the Nigerian Communications Commission (NCC) have also been named as respondents in the lawsuit.
The trial
According to Otudor’s statement, the Nigerian government has violated the fundamental human rights of citizens by unfairly targeting individuals who wish to acquire, use or trade digital assets.
Maurice Oru Ebam, the lawyer representing Otudor, said:
“Section 43 of the (Nigerian) Constitution guarantees every Nigerian the right to acquire and own property anywhere in Nigeria. This right extends to digital assets, which have become critical to financial inclusion and economic stability.”
The complaint also argues that the government’s actions, such as forcing telecommunications companies to block access to cryptocurrency platforms, violate Article 14 of the African Charter on Human and Peoples’ Rights. This article guarantees property rights, which can only be limited to public needs or the well-being of the community.
Otudor stressed the importance of Bitcoin and other digital assets in protecting savings against inflation and facilitating international transactions, especially given the devaluation of the naira and foreign exchange shortages.
Cryptocurrency Regulation Requirements
Otudor wants the court to immediately end the blocking of all cryptocurrency exchange platforms, demanding unrestricted access for Nigerians.
He also called for a declaration that the violation of the rights of users of Bitcoin, USDT and other digital assets in Nigeria was illegal and unconstitutional.
Furthermore, Otudor seeks to establish pro-crypto regulation that recognizes Bitcoin and regulates the flagship digital asset as a commodity within the Nigerian financial system.
