The Central Bank of Nigeria (CBN) has introduced a minimum capital requirement of ₦15 billion for companies seeking to issue foreign currency-backed stablecoins, including popular digital currencies such as USDT and USDC.
The requirement is contained in the apex bank’s 169-page Regulations for the Operations of Non-Security Virtual Assets in Nigeria, issued on Thursday, November 5, 2026, and signed by Musa Jimoh, Director of its Payments System Policy Department.
Under the new framework, prospective issuers of dollar-backed stablecoins must meet the ₦15 billion minimum paid-up capital threshold before commencing operations in Nigeria.
The regulation is part of efforts to strengthen oversight of the country’s expanding cryptocurrency market, protect investors and customers, and safeguard the financial system against risks associated with virtual asset transactions.
Beyond capital requirements, the framework introduces stricter rules on reserve backing, liquidity, redemption, corporate governance, cybersecurity and operational risk management. It also establishes licensing and authorisation requirements for stablecoin issuers and other virtual asset service providers.
The CBN said the measures are designed to ensure that stablecoin operators have sufficient financial capacity and adequate reserves to meet their obligations to customers.
According to Daily Post, operators are also required to safeguard reserve assets and customer funds, improve disclosure practices and establish effective complaints management systems.
On financial security, regulated operators must comply with anti-money laundering and counter-terrorist financing rules.
The requirements include sanctions screening, transaction monitoring, blockchain analytics and compliance with the Travel Rule, which requires relevant information about virtual asset transfers to accompany transactions between service providers.
The regulation also provides for regulatory reporting, supervisory access, information sharing and administrative sanctions. Operators unable to sustain their businesses must equally comply with orderly wind-down arrangements.
The apex bank clarified that the rules apply to businesses operating in or from Nigeria, targeting Nigerian customers or conducting activities capable of significantly affecting the country’s payment system, financial system, foreign exchange market or broader economy.
CBN Clarifies SEC’s Regulatory Role
Meanwhile, the CBN has clarified that the new framework does not override the statutory responsibilities of the Securities and Exchange Commission (SEC).
It explained that virtual assets classified as securities, investment contracts or other capital-market products would remain under the SEC’s regulatory jurisdiction.
Where an activity falls within the mandates of both regulators, the CBN said operators must obtain the necessary approvals from each competent authority.
The apex bank has directed affected financial institutions, issuers, service providers, promoters and other stakeholders to familiarise themselves with the new requirements and ensure full compliance.
The development follows President Bola Tinubu’s signing of an executive order on virtual assets in July 2026, establishing a broader framework for the regulation of digital assets in Nigeria.
