Nigeria Reforms Cryptocurrency Regulation, Educates Investors on New Rules

In an effort to create a sustainable and secure crypto economy, the Securities and Exchange Commission of Nigeria (SEC) has announced the launch of a new program, Crypto Smart, Nigeria Strong. This initiative is aimed at improving financial literacy and developing a civilized approach to the crypto market in the country.

Education is the key to protecting investors

SEC Chairman Emomotimi Agama noted that one of the key elements of the program will be educational work with young people. Schoolchildren and university students will receive basic knowledge of blockchain technology, learn how to recognize crypto fraud and what risks are associated with ill-considered investing. In addition, industry representatives will have the opportunity to personally participate in educational work, talking about the potential of long-term investment in digital assets.

«Financial literacy is the first line of defense for an investor. We want the younger generation to take a conscious approach to using cryptocurrencies,» Agama emphasized.

Licensing reform: more transparency, less bureaucracy

A key part of the SEC strategy is to modernize the licensing process for companies working with virtual assets. The plans include the introduction of a multi-level licensing system, in which the rights and obligations of companies will be correlated with the level of risk, the volume of transactions and the degree of interaction with clients.

In addition, it is planned to reduce the time for filing and reviewing applications, as well as introduce an automated monitoring mechanism that will allow promptly monitoring compliance with regulations. These steps are aimed at creating a favorable environment for bona fide service providers and eliminating gray schemes.

Stablecoins under control: infrastructure for the naira is being created

The SEC pays special attention to the development of a legal framework for stablecoins pegged to the Nigerian naira. Such digital assets, according to the regulator, should be 100% backed by reserves and regularly undergo independent audits. This approach is intended to increase trust in naira stablecoins and expand their application: from settlements in international trade to support for programmable financing.

«Digital assets should work for the country’s economy, and not be exclusively a tool for speculation,» Agama said.

Fighting illegal tokens

The regulator is actively countering unscrupulous projects. Thus, the SEC recently issued a warning to investors, urging them to avoid the Punisher Coin (PUN) memecoin, the issuers of which have not received the appropriate license to operate in Nigeria. This emphasizes that the fight against «toxic» crypto assets remains a priority.

Recall that in April 2025, the Nigerian authorities officially recognized cryptocurrencies as securities, which paved the way for the creation of a full-fledged regulated infrastructure for digital assets.

The Nigerian SEC is focused on education, transparency, and responsible innovation. The Crypto Smart, Nigeria Strong program will not only raise awareness among the youth, but also set a new standard for crypto market regulation in the country. Supporting honest players, combating fraud, and developing stable digital currencies — all this brings Nigeria closer to the status of one of the leading centers of the crypto industry on the African continent.