CBN gives crypto operators 180 days to register, sets ₦100m fine for unlicensed firms

The Central Bank of Nigeria has given crypto operators 180 days to obtain regulatory licences. Firms that operate without approval risk fines starting at ₦100 million.

The directive is part of the Regulations for the Operations of Non-Security Virtual Assets in Nigeria, released on Friday. The CBN said the framework will deepen oversight of digital asset transactions.

Who the rules cover

The framework covers stablecoins, digital wallets, cryptocurrency exchanges, peer-to-peer trading platforms and other virtual asset service providers operating in Nigeria or targeting Nigerian customers.

Existing operators must register with the CBN within 30 days. They must begin submitting supervisory reports within 60 days and complete their licence applications within 180 days. The countdown starts on the commencement date specified by the CBN.

Operators can keep providing services during the transition, but only at their existing operational scale and subject to regulatory conditions. Any company that misses the application deadline must suspend operations until it gets the necessary authorisation.

Capital and fees

The regulations create six licensing and authorisation categories. These cover stablecoin issuers, deposit money tokens and other virtual asset services.

Naira-backed stablecoin issuers must hold minimum paid-up capital of ₦10 billion. Foreign currency-backed issuers need ₦15 billion. Other virtual asset service providers must maintain ₦1 billion.

Stablecoin issuers will also pay a non-refundable application fee of ₦10 million and an annual renewal fee of ₦5 million.

All applicants must be incorporated in Nigeria, keep a local operational presence and appoint resident compliance officers. The CBN extended the licensing requirements to peer-to-peer trading platforms and foreign operators serving Nigerian customers.

Penalties and monitoring

Operating without the required approval attracts a minimum fine of ₦100 million, plus ₦1 million for every day the violation continues. The CBN may suspend operations, withdraw approvals or publicly identify unauthorised companies.

To enforce compliance, the CBN plans to use blockchain analytics, online surveillance and suspicious transaction reports. It may also work with financial institutions, law enforcement agencies and the Nigerian Communications Commission to restrict unauthorised activities.

The bank will publish a public register of licensed operators and identified unauthorised firms. It said the measures aim to encourage responsible financial innovation while protecting consumers and Nigeria’s financial system.

The Securities and Exchange Commission has also proposed new rules for Nigeria’s digital asset industry. The proposed framework, titled “Digital and Virtual Asset Operations, Custody and Markets,” was released on August 20. It introduces higher registration fees, tougher capital requirements and stricter protections for retail investors.

For crypto businesses, the CBN deadline raises the cost of staying legal and narrows room for informal operators. For users, the public register and monitoring plan could make it easier to tell licensed platforms from unapproved ones.