EXPLAINER: Tinubu’s New Executive Order on Virtual Assets — What It Means For Nigerians, Crypto Firms and the Digital Economy

President Bola Tinubu has signed a new Executive Order aimed at bringing order to Nigeria’s fast-growing virtual assets sector, marking one of the country’s most significant policy moves on cryptocurrencies, blockchain services and other digital assets.

The Presidential Executive Order on Virtual Assets Coordination, 2026, took immediate effect after being signed under Section 5 of the 1999 Constitution (as amended).

Rather than creating a new regulator, the order seeks to coordinate the work of existing government agencies, close regulatory loopholes and strengthen oversight while encouraging responsible innovation.

Here are the key things Nigerians should know:

Why did the government issue the Executive Order?

According to the Presidency, virtual assets have evolved beyond fitting neatly into traditional categories such as currencies, commodities or securities.

This has resulted in multiple agencies regulating different aspects of the sector, sometimes with overlapping responsibilities and, in other cases, leaving critical gaps.

The government says these gaps have exposed Nigeria to risks including money laundering, terrorism financing, cyber threats, data privacy breaches, fraud and revenue losses. It also noted that unregistered operators have exploited the fragmented system to defraud unsuspecting Nigerians.

What is changing?

The Executive Order establishes a coordinated framework that brings key regulatory agencies together instead of allowing them to operate independently on virtual asset issues.

The objective is to improve information sharing, policy coordination and supervision without stripping any agency of its existing legal powers.

What is the Virtual Asset Council?

A major feature of the Order is the creation of the Virtual Asset Council, which will coordinate regulation across agencies.

The Council will be chaired by the Central Bank of Nigeria (CBN), while the Nigeria Revenue Service (NRS) and the Securities and Exchange Commission (SEC) will serve as vice-chairpersons.

Other members include the Nigerian Financial Intelligence Unit (NFIU) and the Office of the National Security Adviser (ONSA).

The Council will provide policy direction, coordinate regulatory actions and work with the Attorney-General of the Federation to develop a harmonised legal framework for the sector.

What is the Virtual Asset Office?

The Executive Order also creates a Virtual Asset Office, which will serve as the operational arm of the Council.

Its secretariat will be located at the Central Bank of Nigeria.

The Office will coordinate day-to-day information sharing, regulatory applications and reporting among participating agencies through a shared supervisory technology platform while allowing each institution to retain control of its own data.

Does the Order create a new regulator?

No.

The Presidency stressed that the Executive Order does not establish a new regulator or transfer statutory powers from one agency to another.

Instead, each agency will continue to perform its existing responsibilities while working within a coordinated framework.

Who regulates what?

Registration will depend on the nature of the asset or activity.

Virtual assets that qualify as securities will be regulated by the Securities and Exchange Commission.

Payment, settlement, custody and related services involving non-security virtual assets will fall under the Central Bank of Nigeria.

Where uncertainty exists over which agency should supervise a particular activity, the 

Virtual Asset Council will determine the appropriate regulator.

What is the CBN regulatory sandbox?

The Executive Order confirms that the Central Bank is moving ahead with a regulatory sandbox for virtual assets.

The sandbox will allow eligible firms to test blockchain-based products and virtual asset services in a controlled environment under close regulatory supervision before they are introduced into the broader market.

Regulators will use the sandbox to assess the potential impact of new products on monetary policy, financial stability, consumer protection, financial inclusion, market integrity and government revenue.

The CBN is expected to announce detailed guidelines for participation.

What role will taxation play?

The Nigeria Revenue Service will issue a dedicated tax policy for the virtual assets industry.

According to the Presidency, the policy will clarify how existing tax laws apply to virtual assets, improve certainty for taxpayers and service providers, encourage voluntary compliance and ensure that the sector contributes appropriately to government revenue.

What is the Virtual Assets White Paper?

The Federal Government is also preparing a comprehensive Virtual Assets White Paper.

The document will outline Nigeria’s long-term strategy for regulating and developing the virtual assets ecosystem while providing a roadmap for investors, operators and other stakeholders.

When will implementation begin?

Implementation starts immediately.

The Virtual Asset Council has been directed to develop a Harmonised Implementation Framework within 30 days to guide participating agencies on the practical implementation of the Executive Order.

What does it mean for Nigerians?

For investors and users of digital assets, the government says the new framework is intended to improve consumer protection by closing regulatory loopholes that have enabled fraudulent operators to flourish.

For legitimate businesses, it promises clearer rules, improved regulatory certainty and stronger coordination among government agencies.

For the government, the framework is expected to strengthen oversight, improve tax compliance, support financial stability and promote innovation in Nigeria’s expanding digital economy while addressing national security concerns linked to virtual assets.