TINUBU SIGNS EXECUTIVE ORDER TO HARMONISE VIRTUAL ASSET REGULATION IN NIGERIA

TINUBU SIGNS EXECUTIVE ORDER TO HARMONISE VIRTUAL ASSET REGULATION IN NIGERIA

President Bola Ahmed Tinubu has signed the Presidential Executive Order on Virtual Assets Coordination, 2026, aimed at harmonising the regulation of virtual assets, strengthening collaboration among financial agencies and protecting Nigerians from fraud and other emerging digital risks.

The Executive Order, which takes immediate effect, was signed pursuant to Section 5 of the 1999 Constitution of the Federal Republic of Nigeria (as amended).

A statement by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, said the move is in response to the growing complexity of virtual assets, which now cut across traditional boundaries between currencies, commodities, money and securities.

The Presidency noted that fragmented regulation among relevant agencies had created gaps exploited by fraudulent operators, exposing citizens and the financial system to risks including money laundering, terrorism financing, cybersecurity threats, data privacy breaches and revenue losses.

The Order establishes a Virtual Asset Council to provide policy direction and promote coordination among key institutions.

The Council will be chaired by the Central Bank of Nigeria (CBN), with the Nigeria Revenue Service (NRS) and the Securities and Exchange Commission (SEC) serving as vice-chairs. Other members include the Nigerian Financial Intelligence Unit (NFIU) and the Office of the National Security Adviser (ONSA).

According to the statement, the Council will work with the Attorney-General of the Federation to develop a harmonised legal and institutional framework that aligns virtual asset activities with Nigeria’s economic, security and social objectives.

The Executive Order also establishes a Virtual Asset Office, which will serve as the operational arm of the Council, coordinating information sharing, applications and reporting among participating agencies.

The Presidency clarified that the Order does not create a new regulator or transfer responsibilities among existing institutions, but rather provides a framework for collaboration while preserving the statutory mandates of each agency.

Under the arrangement, activities involving securities will be registered by the SEC, while payment, settlement, custody and related services involving non-security virtual assets will be registered by the CBN.

The Council will resolve cases where regulatory responsibility is unclear.

The Central Bank of Nigeria is also expected to introduce a regulatory sandbox for virtual assets, providing a controlled environment for eligible operators to test blockchain-based products and services under supervision.

The initiative will enable regulators to assess issues relating to financial stability, consumer protection, market integrity, monetary sovereignty, financial inclusion and revenue administration before wider adoption.

Meanwhile, the Nigerian Revenue Service will issue a tax policy framework for the virtual assets sector to provide clarity for taxpayers and service providers while ensuring the sector contributes to national revenue.

The Federal Government is also finalising a comprehensive Virtual Assets White Paper to provide long-term policy direction and implementation priorities for stakeholders.

The Virtual Asset Council has been directed to develop a Harmonised Implementation Framework within 30 days to guide the execution of the Executive Order.