Nigeria unifies virtual asset regulation via executive order

President Bola Tinubu signed the Presidential Executive Order on Virtual Assets Coordination, 2026, taking effect immediately to unify the oversight of digital assets. The order establishes a formal coordination mechanism to replace a fragmented regulatory landscape that had allowed financial crimes to proliferate.

The directive targets a system where overlapping agency mandates created gaps exploited by illicit actors. “With relevant agencies operating in silos, overlapping in some areas and leaving gaps in others, the country has been exposed to risks, including money laundering, terrorism financing, cybersecurity and data privacy threats, fraud, and revenue losses,” said Bayo Onanuga, Special Adviser to the President on Information and Strategy. “Too often, unregistered and fraudulent operators have exploited these gaps to prey on unsuspecting Nigerians, costing families their savings.”

Rather than establishing a new regulator, the order creates a Virtual Asset Council chaired by the Central Bank of Nigeria (CBN). The Nigeria Revenue Service (NRS) and the Securities and Exchange Commission (SEC) act as vice-chairs, joined by the Nigerian Financial Intelligence Unit and the Office of the National Security Adviser. “Significantly, the Order does not create a new regulator or transfer powers between agencies. Each institution retains its full statutory mandate and independence, and the framework coordinates their work rather than replacing it,” Onanuga said.

For crypto businesses, the framework resolves critical jurisdictional ambiguity. Securities-like tokens will register with the SEC, while payment, custody, and settlement services for non-security assets fall under the CBN. The Council will arbitrate disputes, eliminating the regulatory grey areas that previously allowed firms to dodge oversight. This delineation reduces compliance costs for legitimate operators while tightening anti-money laundering controls.

Day-to-day coordination will be managed by a Virtual Asset Office housed at the CBN, utilising a shared supervisory technology platform. In parallel, the central bank is launching a regulatory sandbox. “The sandbox will provide a controlled environment in which eligible operators can test and operate virtual asset products, services, and blockchain-based solutions under close supervision,” Onanuga noted, enabling regulators to evaluate risks to monetary sovereignty and financial stability prior to public deployment.

The government is also moving to capture fiscal revenue from the sector. The NRS is set to release a specific tax policy for virtual assets, operationalising existing laws to improve voluntary compliance and ensure the sector contributes fairly to state coffers. The Council has 30 days to deliver a Harmonised Implementation Framework, while a comprehensive Virtual Assets White Paper outlining long-term priorities is being finalised.