…The Order addresses the rapid evolution of virtual assets, whose growing use has increasingly blurred the traditional boundaries between currencies, money, commodities and securities
FRI JULY 17 2026-theGBJournal| President Bola Ahmed Tinubu, has signed the Presidential Executive Order on Virtual Assets Coordination, 2026, to harmonise the regulation of virtual assets, strengthen cooperation among the nation’s financial, revenue and capital markets agencies, protect citizens from fraud, and safeguard the integrity of the financial system while enabling responsible innovation.
The move marks a significant shift in the country’s oversight of cryptocurrencies, blockchain-based services and other digital assets.
The President signed the Order pursuant to Section 5 of the Constitution of the Federal Republic of Nigeria, 1999 (as altered).
The Executive Order takes effect immediately.
The Order addresses the rapid evolution of virtual assets, whose growing use has increasingly blurred the traditional boundaries between currencies, money, commodities and securities, making it more difficult for regulators operating under separate legal mandates to oversee the sector effectively.
According to the government, the existing regulatory environment has become fragmented, with agencies operating independently, overlapping in some areas while leaving significant gaps in others.
Those weaknesses have exposed Nigeria to money laundering, terrorism financing, cybersecurity and data privacy threats, fraud and revenue leakages.
The administration said unregistered and fraudulent operators have repeatedly exploited those gaps to target unsuspecting Nigerians, resulting in substantial financial losses for households.
Rather than creating another regulator, the Executive Order is designed to close those gaps through institutional coordination, ensuring that existing agencies work together without introducing additional layers of regulation or diminishing their statutory responsibilities.
To achieve this, 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, promote synergy among participating agencies, and work with the Attorney-General of the Federation to develop a harmonised legal and institutional framework that aligns the sector with Nigeria’s national security, economic and social objectives.
The Order also creates a Virtual Asset Office, which will serve as the Council’s operational arm, with its secretariat located at the CBN.
The Office will oversee the day-to-day coordination of information sharing, applications and reporting among participating agencies through an integrated supervisory technology platform that enables shared regulatory visibility while allowing each institution to retain ownership and control of its data.
Significantly, the Order does not create a new regulator or transfer powers between agencies.
Each institution retains its full statutory mandate and independence, with the framework serving to coordinate rather than replace their functions.
To provide greater regulatory certainty for operators and stronger consumer protection, registration will be determined by the nature of the activity and the underlying asset.
Activities classified as securities will continue to be registered by the SEC, while payment, settlement, custody and related services involving non-security virtual assets will fall under the CBN’s oversight.
The Council will resolve cases where regulatory responsibility cannot readily be determined, effectively closing the oversight gaps through which unregistered operators have previously avoided supervision.
As part of the coordinated framework, the Central Bank of Nigeria is proceeding with a regulatory sandbox for virtual assets.
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 regulatory supervision.
Participating agencies will assess the implications for monetary sovereignty, financial stability, market integrity, consumer protection, financial inclusion and revenue administration before products are introduced to the wider market.
The government said the initiative is intended to ensure that innovations reaching Nigerian consumers have been thoroughly examined and appropriately supervised.
The CBN will announce further details of the sandbox.
In parallel, the Nigeria Revenue Service will issue a dedicated tax policy for the virtual assets sector.
The policy will operationalise Nigeria’s existing tax laws as they apply to virtual assets, providing greater certainty for taxpayers and service providers, strengthening voluntary compliance and ensuring that the fast-growing sector contributes fairly to government revenue.
The tax framework is intended to complement the broader coordination mechanism by aligning revenue administration with the work of other participating authorities.
The NRS will provide further details.
The Federal Government is also finalising a comprehensive Virtual Assets White Paper, which will outline Nigeria’s long-term policy direction and implementation priorities for the sector.
The document is expected to serve as a strategic roadmap for regulators, investors, technology firms and other stakeholders as the country seeks to establish a more coherent digital assets ecosystem.
To accelerate implementation, the President has directed the newly established Council to develop a Harmonised Implementation Framework within 30 days, providing operational guidance for participating agencies and ensuring the Executive Order is implemented without delay.
X-@theGBJournal|Facebook-the Government and Business Journal|email:gbj@govbusinessjournal.com|govandbusinessj@gmail.com
