Data control drives digital economy growth, says tech entrepreneur

The future growth of Nigeria's digital economy is intrinsically linked to the capacity of individuals to effectively control and safeguard their personal data, stated Ogegbo Babajide, a digital technology entrepreneur and founder of Stuph Chain LLC and Dogemeatpay. As reliance on digital services escalates, data emerges as a paramount resource, yet weak protection systems pose a significant risk of consumers losing command over how their information is collected, shared, and utilized.

Babajide emphasized that the evolution of digital finance will be shaped not only by advancements in transaction speed and product innovation but, more critically, by users' ability to dictate who accesses their data and under what conditions. He identified open banking as a pivotal development, shifting power from financial institutions to consumers through secure, permission-based data sharing mechanisms. "Open banking is not simply another regulatory initiative; it represents a transition from closed, institution-centric systems to permissioned, interoperable digital ecosystems where data moves only with the user’s consent," he explained.

“

Open banking is not simply another regulatory initiative; it represents a transition from closed, institution-centric systems to permissioned, interoperable digital ecosystems where data moves only with the user’s consent.

Modern open banking systems are replacing outdated methods like screen scraping with secure Application Programming Interfaces (APIs). This allows customers to grant specific access to financial information without compromising sensitive credentials. Babajide noted that this model aligns with Web3 principles, such as decentralized identity and user-controlled access, where "access is granted, but ownership remains with the individual." He stressed that consent must remain the cornerstone of digital trust.

Furthermore, Babajide argued that robust data protection frameworks are essential not only for privacy but also for unlocking innovation. By enabling secure sharing of verified information with trusted providers, such systems can empower startups to develop tailored financial solutions, help small businesses establish creditworthiness, and expand financial services to underserved communities. He urged policymakers and industry stakeholders to champion data ownership principles across the broader digital economy, ensuring that technological progress does not come at the expense of individual control.

“

Access is granted, but ownership remains with the individual.