Crypto regulation in Nigeria
Crypto is regulated in Nigeria, with the Securities and Exchange Commission (SEC) as the lead regulator. As of March 2025 the Investments and Securities Act 2025 classifies digital assets as securities, virtual asset service providers must be licensed by the SEC, and the Central Bank of Nigeria (CBN) allows banks to service licensed providers following its December 2023 guidelines.
The rules in detail
The Investments and Securities Act 2025, signed into law in March 2025, is the foundation of the current framework. It defines digital assets as securities and places virtual asset service providers, including exchanges, brokers, and custodians, under the statutory oversight of the SEC. This replaced years of uncertainty with a clear legal basis for licensing and supervision.
The SEC issued its Rules on Digital Assets in 2022 and, in June 2024, launched the Accelerated Regulatory Incubation Programme (ARIP) to bring operators into the regime while full requirements were completed. Under the ARIP the SEC granted approval in principle to local exchanges including Busha and Quidax. Licensed providers must meet capital, governance, disclosure, and anti money laundering and counter terrorism financing obligations, and report to the SEC.
The Central Bank of Nigeria sets the banking interface. Its February 2021 circular barred banks from servicing crypto businesses, and its December 2023 guidelines reversed that by allowing designated accounts for SEC licensed virtual asset service providers under defined conditions. The CBN does not treat crypto as legal tender. Enforcement has also shaped the market: in 2024 the authorities acted against Binance, detaining executives, and Binance disabled its naira services, which limited access to some international platforms.
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.
Compare available exchanges in Nigeria
See the platforms that are genuinely available to residents, with their registrations and how to sign up compliantly.
Compare available exchangesRegulator 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
What law regulates crypto in Nigeria?
The Investments and Securities Act 2025, signed in March 2025, classifies digital assets as securities and places virtual asset service providers under the Securities and Exchange Commission (SEC).
Do crypto exchanges need a licence in Nigeria?
Yes. All exchanges and virtual asset service providers must obtain SEC authorisation. The SEC has used the Accelerated Regulatory Incubation Programme, launched in June 2024, to onboard platforms, granting approval in principle to Busha and Quidax.
Can Nigerian banks work with crypto firms?
Yes, since the CBN's December 2023 guidelines, which allow banks to open designated accounts for SEC licensed providers under conditions. This reversed the February 2021 restriction.
Is crypto legal tender in Nigeria?
No. The Central Bank of Nigeria does not recognise crypto as legal tender, although holding and trading digital assets is lawful and regulated through the SEC.
What are the AML rules for crypto in Nigeria?
Licensed providers must apply Know Your Customer checks and anti money laundering and counter terrorism financing controls, and report to the SEC. The Nigeria Tax Act 2025 adds reporting duties tied to tax identification.
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