President Bola Tinubu has signed an executive order establishing a coordinated regulatory framework for virtual assets to tackle fraud, protect investors and close gaps exploited by unregistered operators.
The Presidential Executive Order on Virtual Assets Coordination, 2026, also creates a Virtual Asset Council to harmonise oversight among key financial and security agencies.
Presidential spokesperson Bayo Onanuga, in a statement on Friday, said the order, signed pursuant to Section 5 of the 1999 Constitution (as amended), takes immediate effect.
According to the statement, the new framework addresses growing overlaps in the regulation of virtual assets as they increasingly blur the lines between currencies, money, commodities and securities.
It said the fragmented regulatory structure had exposed the country to money laundering, terrorism financing, cybersecurity and data privacy threats, fraud and revenue losses.
The presidency said the Order was designed to improve coordination among regulators rather than introduce additional layers of regulation.
Under the framework, a Virtual Asset Council will be chaired by the Central Bank of Nigeria, with the Nigeria Revenue Service and the Securities and Exchange Commission serving as vice-chairpersons. Other members include the Nigerian Financial Intelligence Unit and the Office of the National Security Adviser.
The council will provide policy direction, strengthen cooperation among participating agencies and work with the Attorney-General of the Federation to develop a harmonised legal and institutional framework for the sector.
The Executive Order also establishes a Virtual Asset Office, which will serve as the Council’s operational arm. The office, to be based at the CBN, will coordinate information sharing, applications and reporting among participating agencies through an integrated supervisory technology platform.
The presidency stressed that the order does not create a new regulator or transfer powers between existing agencies.
Instead, registration will depend on the nature of the asset or activity. Securities-related virtual assets will remain under the SEC, while payment, settlement, custody and related services involving non-security virtual assets will be supervised by the CBN. The Council will determine responsibility where jurisdiction is unclear.
The statement said the arrangement would close loopholes that previously allowed unregistered operators to evade regulatory oversight.
As part of the new framework, the CBN will launch a regulatory sandbox that will allow eligible operators to test virtual asset products, services and blockchain-based solutions under regulatory supervision before they enter the wider market.
“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 supervision, enabling the participating agencies to assess the implications for monetary sovereignty, financial stability, market integrity, consumer protection, financial inclusion, and revenue administration before products reach the wider market,” said the statement.
The CBN is expected to announce further details of the sandbox.
The Nigeria Revenue Service would issue a tax policy for the virtual assets sector to provide clarity for taxpayers and service providers while improving compliance and revenue collection.
According to the statement, the Federal Government is also finalising a Virtual Assets White Paper to outline Nigeria’s long-term policy direction and implementation priorities for the sector.
The council has been directed to produce a Harmonised Implementation Framework within 30 days to guide participating agencies in implementing the Executive Order.
(The Whistler)
