President Bola Tinubu has signed a new executive order establishing a unified regulatory framework for virtual assets to strengthen oversight of Nigeria's digital asset sector, protect consumers, and mitigate financial crimes.
The Presidential Executive Order on Virtual Assets Coordination, 2026, takes immediate effect. Issued under Section 5 of the 1999 Constitution, the directive aims to eliminate regulatory fragmentation among financial, revenue, and capital market authorities, close operational loopholes exploited by fraudulent actors, and foster responsible innovation within the digital economy.
Previously, the lack of centralized oversight exposed the nation to significant risks, including money laundering, terrorism financing, cybersecurity vulnerabilities, data privacy breaches, fraud, and substantial revenue losses.
Key Institutional Developments
To streamline operations, the executive order introduces two primary bodies:
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The Virtual Asset Council: Chaired by the Central Bank of Nigeria (CBN), with the Nigeria Revenue Service (NRS) and the Securities and Exchange Commission (SEC) serving as vice-chairmen. The council also includes the Nigerian Financial Intelligence Unit (NFIU) and the Office of the National Security Adviser (ONSA). This body will dictate policy direction, align agency activities, and collaborate with the Attorney General of the Federation to draft a harmonized legal framework.
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The Virtual Asset Office: Domiciled within the CBN, this office will function as the operational secretariat. It is tasked with managing information sharing, processing applications, and facilitating inter-agency reporting through a centralized supervisory technology platform.
The framework does not establish a new regulatory body or reallocate existing statutory powers. Each participating institution maintains its independent mandate.
Regulatory Jurisdictions and Innovation
Jurisdiction over virtual assets will be dictated by the specific nature of the asset or service:
| Asset / Service Type | Primary Regulator |
| Virtual assets classified as securities | Securities and Exchange Commission (SEC) |
| Payment, settlement, custody, and non-security virtual assets | Central Bank of Nigeria (CBN) |
| Unclear or overlapping jurisdictions | Determined by the Virtual Asset Council |
Additionally, the CBN will launch a regulatory sandbox. This environment will enable eligible operators to test virtual asset products and blockchain applications under direct supervision, allowing authorities to evaluate their impact on financial stability, monetary policy, and consumer protection before widespread market release.
Next Steps for Taxation and Policy
As part of the economic strategy, the Nigeria Revenue Service will introduce a dedicated tax policy for the virtual assets sector. This policy aims to clarify the application of current tax laws, boost voluntary compliance, and ensure the digital economy contributes to national revenue.
Furthermore, the federal government is finalizing a comprehensive Virtual Assets White Paper to define the country's long-term policy goals and implementation priorities. The newly formed Virtual Asset Council has been given a 30-day deadline to deliver a Harmonised Implementation Framework to guide all participating agencies.