To establish a clear regulatory pathway for digital assets, the Central Bank of Nigeria (CBN) has announced that it is collaborating closely with the Securities and Exchange Commission (SEC) to design a sustainable framework for digital currencies in the country.
Speaking at the CBN governor’s annual lecture series held at Lagos Business School (LBS) on October 3, 2025, CBN Governor Olayemi Cardoso highlighted the growing influence of cryptocurrencies, fintech, and blockchain technologies on the future of monetary policy.
He stressed, however, that the extent of their impact is still uncertain, which makes regulatory preparedness essential.
“We are deeply in collaboration to ensure that all the different regulatory authorities can midwife the process that is sustainable with respect to digital currency,” Cardoso stated.
The governor’s remarks reflect Nigeria’s evolving position in the global crypto space. Two years ago, the country attracted global attention as one of the largest markets for cryptocurrency trading, largely driven by limited access to traditional financial systems and a young, tech-savvy population.
However, this rapid growth also posed significant regulatory challenges, particularly in monitoring coin exchange markets.
“Suddenly, over a period of time, coin exchange became very difficult to protect. Many people, not just youngsters, turned to crypto, and a whole architecture started to evolve,” Cardoso recalled.
Tensions between innovation and control have marked Nigeria’s attempts to regulate crypto. Earlier restrictions on banks facilitating crypto transactions had pushed much of the trading activity into peer-to-peer platforms, making oversight more complex.
The new framework being discussed with the SEC is aimed at striking a balance, encouraging innovation while ensuring consumer protection, market integrity, and compliance with financial laws.
It is worth noting that Cardoso’s comments underline a shift in the CBN’s tone, signaling a more coordinated and forward-looking approach to digital currency regulation in Africa’s largest economy.