Tinubu cracks down on Crypto fraud, signs Virtual Assets Order

By Kazeem Ugbodaga

President Bola Tinubu has signed the Presidential Executive Order on Virtual Assets Coordination, 2026, introducing a coordinated framework to regulate Nigeria’s fast-growing virtual assets sector, combat fraud and strengthen oversight without creating a new regulatory agency.

The Executive Order, which took immediate effect, establishes a Virtual Asset Council to harmonise the activities of financial, revenue and capital market regulators while promoting responsible innovation in the digital economy.

According to a statement issued on Friday by the President’s Special Adviser on Information and Strategy, Bayo Onanuga, the order was signed pursuant to Section 5 of the 1999 Constitution to address growing regulatory gaps as virtual assets increasingly blur the boundaries between currencies, commodities, securities and payment systems.

The Presidency said the fragmented regulatory landscape had exposed Nigeria to risks including money laundering, terrorism financing, cybercrime, data privacy breaches, fraud and significant revenue losses, with fraudulent operators exploiting loopholes to defraud unsuspecting investors.

Under the new framework, the Central Bank of Nigeria (CBN) will chair the Virtual Asset Council, while the Nigeria Revenue Service (NRS) and the Securities and Exchange Commission (SEC) will serve as vice-chairmen. Other members include the Nigerian Financial Intelligence Unit (NFIU) and the Office of the National Security Adviser (ONSA).

The Council will coordinate policy, strengthen collaboration among regulators and work with the Attorney-General of the Federation to develop a harmonised legal framework that aligns virtual asset regulation with Nigeria’s economic, security and social priorities.

The Executive Order also establishes a Virtual Asset Office, domiciled at the CBN, to serve as the Council’s operational secretariat. The office will coordinate information sharing, applications and reporting among participating agencies through an integrated supervisory technology platform while allowing each institution to retain control over its data.

The Presidency stressed that the order does not establish a new regulator or transfer statutory powers from existing agencies. Instead, it creates a coordination mechanism under which regulatory responsibilities will depend on the nature of the virtual asset or activity involved.

Under the arrangement, the SEC will continue to regulate virtual assets classified as securities, while the CBN will oversee payment, settlement, custody and other non-security virtual asset services. The Council will resolve jurisdictional disputes where responsibilities overlap.

As part of the reforms, the CBN will launch a regulatory sandbox that will allow eligible firms to test virtual asset products and blockchain-based solutions under close regulatory supervision before they are introduced into the wider market.

Similarly, the Nigeria Revenue Service will issue a dedicated tax policy for the virtual assets sector to clarify tax obligations, improve voluntary compliance and ensure the rapidly expanding industry contributes fairly to government revenue.

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

President Tinubu directed the newly established Council to produce a Harmonised Implementation Framework within 30 days to facilitate the immediate implementation of the Executive Order and strengthen confidence in Nigeria’s digital economy.