Quidax, a Nigerian crypto startup operating under a provisional licence, has officially discontinued its peer-to-peer (P2P) trading service, just five months after launching the feature.
The platform’s P2P option allowed verified users to buy and sell cryptocurrencies directly with other registered merchants, providing a controlled environment for transactions outside conventional order-book trading.
The move comes as Nigeria continues to strengthen oversight of the digital asset sector. Authorities are seeking to formalise a market that has largely operated informally, bringing it under the Nigerian Securities and Exchange Commission (SEC)’s regulatory framework.
Quidax is part of the SEC’s Accelerated Regulatory Incubation Programme (ARIP), designed to guide startups toward full crypto licencing. However, the transition to full licencing, initially expected by August 2025, has been delayed as regulators reassess their supervisory readiness.
Brandspur Banking News Desk reports that P2P trading has long been a regulatory grey area, with authorities concerned about exchange rate manipulation, opaque transaction flows, and foreign-operated platforms functioning in Nigeria without oversight.
Despite Quidax’s safeguards requiring full account registration, Level-3 KYC, two-factor authentication, and merchant vetting the company decided to discontinue the service to focus on higher-demand trading options such as instant swaps and order-book trades.
Following the shutdown, Quidax’s P2P marketplace, including ads, chats, and escrow services, will be disabled. Other platform services, including its main exchange functions, will continue to operate. The decision also highlights the boundaries of the SEC’s current oversight, signalling where regulators are equipped to monitor activity effectively.
Nigeria’s crypto regulatory landscape has become more defined in recent months. The SEC, under the Investment and Securities Act (2025), now treats digital assets as securities, placing them firmly under capital market supervision.
Minimum capital requirements have been raised to ₦500 million ($352,000) for platforms offering broking, matchmaking, or intermediary services, including P2P functionality. Providers operating combined services, such as full exchanges with custody or escrow capabilities face potentially higher capital thresholds.
In parallel, Quidax announced plans to delist 35 tokens from its platform. This includes meme coins like $TRUMP, gaming tokens such as Axie Infinity, Worldcoin, and the 2024-launched stablecoin World Liberty Financial ($WLFI), associated with prominent investors including members of the Trump family.
The shutdown of P2P trading at Quidax underscores the evolving relationship between innovation and regulation in Nigeria’s digital asset market. While startups continue to explore new business models, the SEC’s increasing clarity on capital market rules is shaping which crypto services can operate sustainably and within legal boundaries.
