Nigeria’s Securities and Exchange Commission has formally declared the country “open for stablecoin business,” marking a significant shift in digital asset policy just over a year after banning Binance operations.
Speaking on July 23 at the Nigeria Stablecoin Summit in Lagos, SEC Director-General Dr. Emomotimi Agama announced that Nigeria supports blockchain innovation that empowers citizens within a clearly defined regulatory framework.
“My message is clear: We want innovation that protects our markets and empowers Nigerians,” Agama stated during his keynote address, according to summit coverage by The Cable Nigeria.
Youth Adoption
Stablecoins — digital tokens typically backed by the U.S. dollar — are gaining popularity among Nigerian citizens, particularly younger demographics seeking alternatives to the weakening naira and rising inflation. These tokens are increasingly used for payments, savings, and cross-border remittances.
“The digital economy in Nigeria is dynamic, youthful, and increasingly decentralised,” Agama said. “We need African solutions for African challenges.”
From Binance Ban to Regulatory Innovation
Nigeria’s current stance follows its 2024 enforcement action against Binance, which authorities accused of illegal foreign exchange activities and linked to the naira’s significant decline against the dollar.
However, with the passage of the Investment and Securities Act (ISA 2025), Nigeria has pivoted toward regulated innovation. The commission is now onboarding firms into its regulatory sandbox — a controlled testing environment for licensed cryptocurrency businesses.
Agama also indicated support for a Nigerian-issued stablecoin that could facilitate African cross-border trade in the future.
This regulatory shift follows earlier initiatives. Nigeria’s central bank had approved the cNGN, a naira-pegged stablecoin, earlier this year to explore blockchain-backed finance. And now with stablecoin regulation picking up globally, Nigeria’s latest move positions it ahead in the race to lead Africa’s digital finance future.
Also Read: Hong Kong to Ban Unlicensed Stablecoin Ads from Aug 1, 2025
This content is for informational purposes only and does not constitute financial advice.
