The National Information Technology Development Agency (NITDA) has issued a stern directive to the Stakeholders in Blockchain Technology Association of Nigeria (SiBAN), giving the association a two-week deadline to resolve its internal leadership issues. Failure to meet this deadline will result in the cessation of all official engagements between SiBAN and the government.
Chimezie Chuta, Chairman of the National Blockchain Policy Implementation Steering Committee at NITDA, confirmed that SiBAN must present a comprehensive peace plan or risk losing formal recognition from the government. With a week already elapsed, SiBAN now has less than seven days to settle its internal conflicts.
Background of the Leadership Crisis
In September 2024, SiBAN’s Board of Trustees (BoT) announced the expulsion of Obinna Iwuno, the association’s president since December 2022, along with his associates, citing multiple breaches of trust and governance violations. However, Iwuno countered these claims, stating that SiBAN had been legally registered under his leadership and that legal action had been initiated against those attempting to disrupt the association’s activities.
Iwuno’s suspension from office occurred in May 2024, following accusations of financial mismanagement and breaches of trust. A caretaker committee was subsequently appointed to manage SiBAN’s operations, but Iwuno continued to act as president, conducting media interviews and attending events on behalf of the association.
This situation led to a split within the association, with one faction led by Iwuno and another by the caretaker committee. This division has complicated government interactions, as both factions have attempted to engage separately with officials on similar matters.
Clashing Statements from SiBAN Leaders
Despite the internal turmoil, Iwuno has maintained that there is no crisis within SiBAN. He asserted that the association’s Executive Council and Board of Trustees were functioning smoothly, engaging with key stakeholders in the blockchain ecosystem.
However, former SiBAN president and current BoT member Senator Ihenyen disagreed. He pointed out that several key members of SiBAN’s executive council resigned following Iwuno’s suspension, which, according to Ihenyen, effectively dissolved the council, leaving only Iwuno and one other member in leadership roles.
Ihenyen emphasized that the BoT had no choice but to establish a caretaker committee to manage the association’s affairs while Iwuno was suspended. Nonetheless, Iwuno continued to act as president, prompting the BoT to officially expel him.
Iwuno dismissed his expulsion as a farce, accusing the BoT of attempting to create a “shadow administration” and tolerate fraudulent activities within the association. He further alleged that fraudulent actors within Nigeria’s meme coin market were behind the disruption.
Impact on Nigeria’s Blockchain Sector
The leadership crisis at SiBAN comes at a critical time for Nigeria’s blockchain sector, which has been making strides in gaining legitimacy with regulators. Recent milestones include the establishment of a national blockchain policy and the licensure of two cryptocurrency exchanges by the Securities and Exchange Commission (SEC).
However, the disarray within SiBAN, one of the country’s most prominent blockchain associations, could undermine efforts to foster public and governmental trust in blockchain technology.
Chimezie Chuta, who heads NITDA’s blockchain policy steering committee, remains optimistic. He downplayed SiBAN’s role in the broader industry, stating, “Our industry is much bigger than SiBAN. It will continue to progress.” He expressed confidence that government engagement with blockchain stakeholders will persist, regardless of SiBAN’s fate.
Chuta also highlighted the ongoing implementation of Nigeria’s blockchain policy, aimed at nurturing blockchain talent and expanding use cases, such as real estate tokenization. While acknowledging some delays in policy execution, he emphasized the government’s commitment to raising awareness of blockchain technology.
The recently concluded Centralised Intelligence Conference, held on October 10th and 11th, is part of these efforts. However, with SiBAN’s future hanging in the balance, the industry could face significant shifts in its leadership landscape within the coming week if the association fails to meet NITDA’s deadline.
