Tinubu Signs Executive Order To Boost Nigeria’s Digital Economy, Virtual Assets

According to a statement released by the President’s Special Adviser on Information and Strategy, Bayo Onanuga, the Executive Order takes immediate effect and is designed to harmonise the activities of financial, revenue and capital market regulators while protecting citizens from fraud and other emerging digital risks.

The order, signed under the powers granted to the President by Section 5 of the 1999 Constitution (as amended), establishes a Virtual Asset Council to coordinate government agencies involved in the supervision of virtual assets.

The council will be chaired by the Central Bank of Nigeria (CBN), with the Nigeria Revenue Service (NRS) and the Securities and Exchange Commission (SEC) serving as vice-chairs. Other members include the Nigerian Financial Intelligence Unit (NFIU) and the Office of the National Security Adviser (ONSA).

According to the statement, the move became necessary due to challenges created by the rapidly evolving nature of virtual assets, which have blurred the traditional lines between currencies, commodities, securities and other financial instruments.

The Presidency noted that fragmented regulation among agencies had created loopholes exploited by fraudulent operators, exposing Nigerians to risks including money laundering, terrorism financing, cybersecurity threats, data privacy breaches and revenue losses.

The newly established framework, however, will not create a new regulator or transfer existing powers between government agencies. Instead, it will promote cooperation among institutions while allowing each agency to maintain its statutory responsibilities.

The Executive Order also creates a Virtual Asset Office, which will serve as the operational arm of the council, with its secretariat domiciled at the Central Bank of Nigeria.

The office will oversee information sharing, applications and reporting processes among relevant agencies through an integrated supervisory technology platform aimed at improving transparency and coordination.

Under the new arrangement, registration of virtual asset activities will depend on the nature of the service provided. Activities involving securities will fall under the supervision of the SEC, while payment, settlement, custody and related services involving non-security virtual assets will be handled by the CBN.

The council will resolve cases where regulatory responsibility is unclear, ensuring that operators cannot exploit gaps in oversight.

The Presidency further disclosed that the CBN is developing a regulatory sandbox for virtual assets, which will allow approved operators to test blockchain-based products and services under controlled supervision before entering the wider market.

The sandbox will help regulators assess issues relating to financial stability, consumer protection, market integrity, monetary policy, financial inclusion and national revenue.

According to the statement, the Nigeria Revenue Service will also release a tax policy framework for the virtual assets sector to provide clarity for operators and ensure the industry contributes appropriately to national revenue.

The Federal Government is equally finalising a comprehensive Virtual Assets White Paper, which will outline Nigeria’s long-term policy direction and implementation strategy for the sector.

The Virtual Asset Council has been given a 30-day deadline to develop a Harmonised Implementation Framework to ensure the swift execution of the presidential directive.

The development is part of the Tinubu administration’s broader agenda to position Nigeria as a leading digital economy in Africa while promoting innovation, transparency and responsible adoption of emerging financial technologies.