Virtual assets regulation in Nigeria has entered a new phase following President Bola Tinubu’s signing of an Executive Order establishing a coordinated framework and a new council to strengthen oversight, innovation and consumer protection.
President Bola Ahmed Tinubu has signed the Presidential Executive Order on Virtual Assets Coordination, 2026, establishing a harmonised framework for regulating virtual assets and strengthening collaboration among key financial, revenue and capital market agencies.
The Executive Order, signed pursuant to Section 5 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended), takes immediate effect.
According to the Presidency, the initiative is aimed at harmonising the regulation of virtual assets, protecting Nigerians from fraud, safeguarding the integrity of the financial system and promoting responsible innovation within the digital economy.
The government said the Order addresses a fragmented regulatory environment in which virtual assets increasingly blur the traditional boundaries between currencies, money, commodities and securities.
It noted that overlapping responsibilities and regulatory gaps among agencies have exposed the country to risks such as money laundering, terrorism financing, cybersecurity threats, data privacy breaches, fraud and revenue losses.
The Executive Order is designed to close these gaps through improved supervisory coordination without creating additional layers of regulation or altering the statutory responsibilities of existing agencies.
Virtual Asset Council Established
The Order establishes a 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-chairpersons.
Other members include the Nigerian Financial Intelligence Unit (NFIU) and the Office of the National Security Adviser (ONSA).
The Council will provide policy direction, strengthen inter-agency collaboration and work with the Attorney-General of the Federation to develop a harmonised legal and institutional framework aligned with Nigeria’s national security, economic and social objectives.
Operational Office To Coordinate Oversight
The Executive Order also establishes a Virtual Asset Office, which will serve as the Council’s operational arm.
The office, with its secretariat domiciled at the CBN, will coordinate information sharing, applications and reporting among participating agencies through an integrated supervisory technology platform while allowing each institution to retain ownership and control of its data.
The Presidency emphasised that the Order neither creates a new regulator nor transfers powers between existing agencies.
Instead, each institution will continue to exercise its statutory mandate while operating within a coordinated regulatory framework.
Under the new arrangement, virtual asset activities classified as securities will be regulated by the SEC, while payment, settlement, custody and other services involving non-security virtual assets will fall under the CBN’s jurisdiction.
Where regulatory responsibility is unclear, the Virtual Asset Council will determine the appropriate agency.
CBN To Launch Regulatory Sandbox
As part of the new framework, the Central Bank of Nigeria will establish a regulatory sandbox for virtual assets.
The sandbox will provide a controlled environment where eligible operators can test virtual asset products, services and blockchain-based innovations under regulatory supervision before they are introduced into the wider market.
According to the Presidency, the initiative will enable regulators to assess the impact of emerging technologies on monetary sovereignty, financial stability, market integrity, consumer protection, financial inclusion and revenue generation.
The CBN is expected to announce further details of the sandbox.
Nigeria Revenue Service To Issue Tax Policy
The Nigeria Revenue Service will also release a dedicated tax policy for the virtual assets sector.
The policy is expected to clarify the application of Nigeria’s tax laws to virtual asset transactions, strengthen voluntary compliance and ensure the growing sector contributes fairly to national revenue.
The Federal Government further disclosed that it is finalising a comprehensive Virtual Assets White Paper, which will outline Nigeria’s long-term policy direction and implementation priorities for the sector.
The newly established Virtual Asset Council has been directed to develop a Harmonised Implementation Framework within 30 days to facilitate the effective implementation of the Executive Order.
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