Tinubu Signs Executive Order to Regulate Digital Assets

President Bola Ahmed Tinubu has signed an Executive Order on Virtual Assets to strengthen the regulation of cryptocurrencies and other digital assets in Nigeria.

The Executive Order establishes a Virtual Asset Council, a coordinating body that will bring together relevant government agencies to improve collaboration and develop a unified approach to regulating the growing digital asset sector.

The move comes as the adoption of virtual assets continues to expand, with individuals and businesses increasingly using digital currencies and blockchain-based assets for payments, investment and other financial activities.

The Federal Government said the framework is aimed at creating a safer and more transparent digital asset environment while supporting innovation within Nigeria’s digital economy.

The Executive Order does not ban the use of cryptocurrencies or create a new regulatory agency but provides a structure for existing regulators to work together more effectively.

New Council to Coordinate Digital Asset Regulation

Before the Executive Order, different government institutions handled various aspects of digital asset regulation, a situation that sometimes created overlapping responsibilities and uncertainty for stakeholders.

The newly established Virtual Asset Council will coordinate policies among relevant agencies and improve information sharing to ensure a more consistent regulatory approach.

The council will also support efforts to strengthen consumer and investor protection as more Nigerians participate in the digital asset market.

It will work with relevant authorities to address risks linked to virtual assets, including fraud, money laundering, terrorism financing and cybercrime.

The Federal Government said the coordinated framework would provide clearer direction for businesses and investors operating within Nigeria’s virtual asset ecosystem.

Framework to Boost Confidence, Innovation

Virtual assets are digital forms of value that exist electronically and include cryptocurrencies such as Bitcoin, Ethereum and other blockchain-based assets used for financial transactions.

The government said the new regulatory framework is designed to balance technological innovation with the need to protect users and maintain the integrity of the financial system.

For individuals and businesses involved in digital assets, the policy is expected to provide clearer guidelines and reduce uncertainty around operations in the sector.

The government believes stronger oversight will encourage responsible innovation, improve investor confidence and attract investment into Nigeria’s digital economy.

The Executive Order is expected to position Nigeria to take advantage of opportunities in the digital asset space while ensuring the sector develops in a secure and sustainable manner.

Nigeria Moves to Strengthen Digital Economy

The Federal Government said the initiative reflects its commitment to supporting emerging technologies while establishing measures that promote accountability and transparency.

By improving coordination among regulators, the government aims to create a regulatory environment that allows digital businesses to grow while protecting consumers from potential risks.

The Virtual Asset Council will serve as a platform for government agencies to develop policies and respond to emerging challenges in the rapidly changing digital finance sector.

Stakeholders in the digital economy are expected to benefit from a clearer regulatory structure that provides guidance on compliance and operations.

The government said the move would help Nigeria build a globally competitive digital asset ecosystem capable of supporting innovation, investment and economic growth.