Crypto in Nigeria: legality, rules, and tax

The legal status

Owning and trading crypto is lawful for individuals in Nigeria. There is no ban on holding digital assets, and the country has one of the largest crypto user bases in the world. What changed over recent years is the move from an uncertain, restricted environment to a defined regulatory framework with a named lead regulator.

Regulation: the SEC and the Investments and Securities Act 2025

In March 2025 President Bola Tinubu signed the Investments and Securities Act 2025, which formally recognises digital assets as securities and places virtual asset service providers, including exchanges, custodians, and brokers, under the oversight of the Securities and Exchange Commission (SEC). This gave the SEC a clear statutory basis to license and supervise the sector.

The SEC had already begun bringing platforms inside the perimeter. Its Rules on Digital Assets date from 2022, and in June 2024 it launched the Accelerated Regulatory Incubation Programme (ARIP) to onboard operators while full rules were finalised. Under that programme the SEC granted approval in principle to local exchanges including Busha and Quidax, the first digital asset exchanges to receive that status. All exchanges and virtual asset service providers must obtain SEC authorisation to operate legally, and must apply anti money laundering and counter terrorism financing controls.

The Central Bank of Nigeria

The CBN restricted banks from servicing crypto businesses through a February 2021 circular. It reversed that position in December 2023, issuing guidelines that allow banks to open designated accounts for licensed virtual asset service providers, subject to strict conditions. The CBN does not recognise crypto as legal tender, but banks may now serve SEC regulated platforms, which reconnected the sector to the formal banking system.

Enforcement has been part of the story. In 2024 the authorities took action against Binance, detaining executives, and Binance disabled its naira services. The practical result is that access to some large international platforms has been constrained, while locally engaged platforms have grown.

Tax

Crypto is taxable in Nigeria. Under the Nigeria Tax Act 2025, which takes effect from 2026, gains on disposals of digital assets are treated as chargeable gains and brought into the income tax system, and virtual asset service providers face corporate income tax and reporting duties. The tax authority is the Federal Inland Revenue Service (FIRS), which is being restructured as the Nigeria Revenue Service. See the Nigeria crypto tax page for detail. This is general information, not tax advice, so verify your position before filing.

Availability and how to act

Crypto is available to buy and sell in Nigeria through platforms that engage with the new framework. The SEC granted approval in principle under its Accelerated Regulatory Incubation Programme to local exchanges including Busha and Quidax, and platforms such as Luno also serve Nigerian users. Several large international platforms have been harder to access since the 2024 enforcement action against Binance, which detained executives and led Binance to disable its naira services, so availability varies by platform as of 2026. Compare the exchanges that are genuinely available to Nigerian residents before choosing one.

Regulator and sources

• Securities and Exchange Commission Nigeria (SEC), sec.gov.ng, including the Rules on Digital Assets and the Accelerated Regulatory Incubation Programme (ARIP)
• Investments and Securities Act 2025 (signed into law in March 2025), classifying digital assets as securities
• Central Bank of Nigeria (CBN), cbn.gov.ng, including the December 2023 guidelines for accounts of virtual asset service providers
• Nigeria Tax Act 2025 and the Federal Inland Revenue Service (FIRS), now being restructured as the Nigeria Revenue Service, firs.gov.ng

Frequently asked questions

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