Tinubu Puts Financial Regulators on Alert as Nigerians Shift to Digital Currencies

In a move signalling his administration’s heightened focus on the digital economy, President Bola Tinubu has ordered the country’s financial and capital market authorities to step up their monitoring of digital currencies and stablecoins. The directive, conveyed by Finance Minister Wale Edun, is a direct response to the growing number of Nigerians who are bypassing traditional banking systems to conduct transactions using digital assets.

Speaking at the 18th Annual Banking and Finance Conference in Abuja, the President acknowledged the rapid transformation of the global financial landscape. “So many people now are not using the banking system to make payments. They’ve turned to stablecoins. They’ve turned to digital currency,” he stated. He emphasized that this shift, while an indicator of innovation, presents “emerging challenges” that need to be actively managed to protect the financial system.

This new order reinforces the collaborative efforts between the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC), which have been working to establish a clear regulatory framework for the digital currency market. The SEC, in particular, has ramped up its oversight since the enactment of the Investments and Securities Act (ISA) 2025, a landmark law signed by President Tinubu that classifies digital assets as securities. This legislation gives the SEC the power to license and supervise exchanges and other virtual asset service providers, ensuring they comply with strict anti-money laundering and anti-terrorism financing rules.

The directive from the Presidency is a clear indication that the government is moving away from outright bans and toward a more structured regulatory approach. The goal is to create a safe environment for digital innovation to thrive while preventing risks that could undermine the naira’s value and the stability of the broader financial system. The President’s call for a “regulatory watch” is a vital step toward integrating digital assets into Nigeria’s formal economy and ensuring the country can benefit from the ongoing global financial revolution.