Nigerian Senate Advances Virtual Asset Service Providers Regulation Bill

The Nigerian Senate advanced the Virtual Asset Service Providers (Regulation) Bill 2026 to its second reading on June 9, 2026. Sponsored by Deputy Senate President Barau Jibrin, the legislation seeks to establish a legal and supervisory framework for virtual assets and blockchain platforms within Nigeria.

The bill introduces mandatory licensing, transparency, and compliance requirements for cryptocurrency exchanges. Lawmakers argued that existing regulatory gaps expose citizens to fraud and money laundering while forcing Nigerian technology entrepreneurs to operate abroad. The framework is designed to align Nigeria with international standards set by the Financial Action Task Force and the International Monetary Fund to combat terrorism financing.

During the debate, senators emphasized the need for the bill to be harmonized with existing financial laws, such as the Bank and Other Financial Institutions Act, to avoid regulatory confusion. Supporters noted that the legislation aims to create a predictable environment for innovation to support President Bola Tinubu's goal of a $1 trillion economy.

Following the session, the Senate referred the bill to the Senate Committee on Capital Market for further scrutiny. A formal report from the committee is expected within four weeks.