Nigerian Court Paves Way for CBDC Rollout, Suggests ‘Plaintiff May Be Adequately Compensated’

Bitcoin News

The Nigerian High Court that is presiding over the e-naira trademark infringement case brought against the Central Bank of Nigeria (CBN), has ruled that Central Bank Digital Currency (CBDC) “may proceed on national interest” considerations. The ruling clears a crucial legal hurdle for CBN’s yet to be rolled out digital currency.

CBN’s Alleged Trademark Infringement

As previously reported by Bitcoin.com News, Nigerian firm Enaira Payments Solution had filed a trademark infringement lawsuit against the central bank for its use of the term “e-naira.” The firm’s lawyers have argued that the CBN’s plan to use the e-naira term posed a threat and would represent a willful infringement.

Yet in a ruling that came just a few days after a CBN spokesperson announced the deferment of the CBDC launch, the High Court judge, Taiwo Abayomi Taiwo, reportedly justified this decision by suggesting the “plaintiff may be adequately compensated.” Parties to the case are now expected to return to court on October 11.

Reason for Postponement

When the CBN announced the postponement of the e-naira launch, observers were quick to speculate that this was linked to the lawsuit. However, a report the Nairametrics pointed to the sustained surge in traffic to the website as the real reason for the postponement. According to the report, this surge in traffic convinced the CBN that it had to do “a reassessment of the system powering the digital currency” before the rollout.

The report however does not state when the central bank expects to conclude the reassessment or the new e-naira launch date.

Do you think that the CBN is capable of successfully rolling out a CBDC? You can share your thoughts in the comments section below.

Tags in this story

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Read disclaimer

Products You May Like

Articles You May Like

Ripple Stablecoin RLUSD Is A ‘Trojan Horse’ For DeFi And Banking, Claims Venture Capitalist

Leave a Reply

Your email address will not be published. Required fields are marked *