Nigeria's Tinubu Signs Order to Align Crypto Oversight Across Regulators

Nigeria's President Bola Tinubu has signed an executive order aimed at tightening coordination in the country's fast-growing crypto market, bringing financial, tax and capital market agencies under a shared approach to supervising digital assets. The order, signed Friday, sets a common framework for virtual-asset regulation and instructs regulators to work more closely while keeping their existing statutory powers. It stops short of creating a new standalone watchdog. Instead, it establishes a virtual asset council made up of senior financial regulators to guide policy and close gaps that previously allowed some unregistered crypto operators to function with limited oversight. Registration and compliance will follow an activity-based model: obligations will depend on the services provided—such as an exchange, payment provider or investment platform—and the type of asset involved, rather than how a firm labels itself. Presidential special adviser Bayo Onanuga said the design "coordinates their work rather than replacing it," aiming to give operators clearer rules and reduce regulatory arbitrage. Tax enforcement is incorporated into the coordinated regime. The directive does not change tax rates, but the Nigerian Revenue Service (NIRS) is expected to publish guidance clarifying the implications for taxpayers. The executive action runs alongside legislative efforts. In June, the Senate moved the Virtual Asset Service Providers Regulation Bill, 2026 (SB 956) through second reading. The bill, sponsored by Deputy Senate President Barau Jibrin and presented by Senate Chief Whip Mohammed Monguno, would introduce licensing, transparency and compliance requirements for crypto exchanges and other virtual-asset businesses serving Nigerians. SB 956 has been sent to the Senate Committee on Capital Market for review, amendments and public input. It still requires committee approval, a third reading and additional steps before it can become law. Tax reporting rules have already tightened. Since early 2026, crypto service providers have been required to link transactions to tax identification numbers—and in some cases national IDs—under the Nigeria Tax Administration Act 2025. The requirement aligns Nigeria with the OECD's Crypto-Asset Reporting Framework, effective Jan. 1, 2026, which enables cross-border information sharing on crypto transactions. Nigeria remains one of the world's most active crypto markets. An IMF report published in June estimated roughly $59 billion in crypto-asset inflows between July 2023 and June 2024, and said Nigeria accounted for about 60% of all stablecoin inflows into sub-Saharan Africa since 2019. Households and small businesses have increasingly used U.S. dollar-pegged stablecoins for remittances, paying overseas suppliers and protecting savings amid currency pressure, making stablecoins an important cross-border payment channel. The IMF has cautioned that rapid stablecoin growth is testing monetary and regulatory frameworks, urging an approach that supports innovation while managing risks. Tinubu's order focuses on the supervisory side of that challenge by aligning agencies, clarifying registration expectations and integrating tax enforcement into a single oversight structure—steps that could curb fraud, limit unregulated activity and provide compliant firms with clearer operating rules. Next steps will hinge on NIRS guidance, the virtual asset council's policy work and the Senate committee's review of SB 956. Together, these processes will determine how registration, supervision, taxation and consumer protections are applied to crypto firms and customers in Nigeria. Bottom line: The executive order marks a significant move toward coordinated crypto oversight in one of Africa's largest digital-asset markets, aiming to close loopholes without weakening regulators' legal authority as lawmakers and tax officials continue to develop the details.