The Securities and Exchange Commission (SEC) of Nigeria has unveiled plans to develop a regulatory framework for stablecoins, aiming to facilitate cross-border trade, programmable finance, and efficient digital payments. Speaking at the 2025 Decentralised Finance Conference in Lagos, SEC Director-General Emomotimi Agama emphasized the Commission’s collaborative efforts with developers to establish a credible and transparent ecosystem, focusing particularly on stablecoins pegged to the naira.
To build trust, Agama explained that these stablecoins would be fully backed by verifiable reserves and undergo regular audits by independent custodians. This marks a shift from speculative use of digital assets to more practical applications that support Nigeria’s real economy. The regulatory framework will also include a risk-based licensing system to attract reputable players while keeping out bad actors.
As part of its broader digital finance strategy, the SEC launched the “Crypto Smart, Nigeria Strong” campaign, a nationwide initiative to educate young Nigerians on blockchain technology, investment strategies, and fraud prevention. Agama highlighted the growing dominance of youth in the crypto space, with over 65% of users under 35, many of whom see digital assets as a gateway to financial independence.
Beyond stablecoins, the SEC is exploring regulatory pathways for digital asset Exchange Traded Funds (ETFs), custodial wallets for Nigeria’s N16 trillion pension fund, and tokenised securities for institutional investors. These innovations aim to increase market participation, attract long-term capital, and stabilize the digital asset ecosystem.
In a broader effort to integrate Nigeria into global financial systems, the SEC and the Nigerian Exchange Group are reinforcing ties with China to expand capital market cooperation. These combined efforts reflect Nigeria’s commitment to leading in digital finance, improving financial inclusion, and positioning its economy for global trade opportunities.
Source: Punch