Nigeria order tightens oversight of crypto markets

TLDR

Nigeria has issued an executive order that centralizes and tightens oversight of crypto and other virtual assets while keeping existing regulators in place.

1. President Bola Tinubus order creates a Virtual Asset Council and harmonizes fragmented crypto rules, closing loopholes for unregistered operators.
2. The framework links crypto activity more clearly to licensing, supervision, and tax reporting, which will raise compliance demands for exchanges and users.
3. Over the next month, regulators will draft the detailed rules, and a pending Senate bill could further formalize licensing and investor protections.

Deep Dive

1. What The New Order Actually Does

Tinubu signed the Presidential Executive Order on Virtual Assets Coordination, which establishes a Virtual Asset Council led by top financial regulators to coordinate policy across the central bank, securities regulator, and tax authority. The order aims to harmonize the regulation of virtual assets and protect citizens from fraud while supporting innovation, according to officials quoted in a policy notice.

Importantly, the order does not create a brand new regulator. Each agency keeps its existing legal mandate, but registration and oversight are now coordinated so that requirements depend on the type of service and asset. That activity-based approach is meant to close gaps that previously let some crypto businesses operate without clear supervision, as highlighted in crypto sector coverage.

2. Impact On Users, Exchanges, And Stablecoins

Nigeria is one of Africas largest crypto markets, with about $59 billion in crypto inflows between July 2023 and June 2024 and roughly 60% of sub-Saharan stablecoin inflows, according to IMF data cited in a recent overview. The order is designed to tighten oversight without shutting that activity down.

For platforms, expect more formal licensing, clearer registration rules, and stricter KYC and reporting. Since early 2026, crypto service providers already must link transactions to tax and national identification numbers under Nigerias tax law, and the revenue service is now tasked with issuing dedicated digital-asset tax guidance.

For retail users, crypto access should remain, but using unregistered or offshore services will likely become riskier as enforcement ramps up. Stablecoin and cross-border payment usage may face more verification and reporting, though the framework still signals openness to responsible innovation.

3. What To Watch Next

The new council reportedly has around 30 days to produce a harmonized implementation framework, including sandbox rules for new products, a virtual-assets white paper, and a dedicated tax policy, according to regulatory commentary. That is the next key milestone that will translate the order into concrete obligations.

In parallel, the Senate is debating the Virtual Asset Service Providers Regulation Bill, which would codify licensing and transparency requirements for exchanges and other crypto businesses. Together, the executive order and the bill can turn Nigerias currently fragmented oversight into a more unified regime.

Conclusion

Nigerias order signals a shift from ad hoc restrictions and loopholes to coordinated, activity-based supervision of crypto markets. It tightens oversight by linking registration, tax enforcement, and agency cooperation, but it also explicitly tries to preserve innovation and existing mandates. For crypto participants, the opportunity is a clearer, more predictable rulebook, but the trade-off will be higher compliance expectations and less room for unregistered or lightly supervised activity.