President Bola Tinubu yesterday directed financial and capital market authorities to monitor the increasing use of stable coins and digital currencies in Nigeria, cautioning that the shift away from traditional banking systems presents emerging challenges that must be proactively managed.

Recall that the Senate, through its Committee on Capital Market, last week said it is working with the Stakeholders in Blockchain Association of Nigeria (SIBAN) to develop a comprehensive legal framework for cryptocurrency exchanges in the country.

Nigeria’s global standing in cryptocurrency adoption is ranking second worldwide and first in Africa, which is a compelling reason for establishing a clear regulatory structure for blockchain and digital assets.

Speaking at the 18th Annual Banking and Finance Conference of the Chartered Institute of Bankers of Nigeria in Abuja on Tuesday, Tinubu, represented by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, acknowledged the global financial system’s rapid transformation.

“There is a digital revolution. So many people now are not using the banking system to make payments. They’ve turned to stablecoin. They’ve turned to digital currency.

“To this end, I have directed capital market authorities and banking authorities to get hold of this narrative and track it whilst it is still evolving,” the President said.

Nigeria’s Securities and Exchange Commission has intensified its regulatory oversight of digital currencies following the enactment of the Investment and Securities Act 2025, which formally classifies digital assets as securities.

This legislation empowers the SEC to license and supervise Virtual Asset Service Providers, including exchanges and custodians, ensuring compliance with stringent Know Your Customer and Anti-Money Laundering standards.

Further emphasizing the need for Nigeria’s economy to transition from resilience to reinvention, the President stressed the critical role of digital tools, artificial intelligence, and open banking in driving industrialization, improving efficiency, and creating jobs. (The Guardian)

Update news