The Securities and Exchange Commission (SEC) has begun collaborative efforts with developers to co-create a comprehensive regulatory framework for stablecoins in Nigeria, marking a pivotal step in integrating Decentralised Finance (DeFi) into the country’s formal financial ecosystem.
This initiative was revealed by the Director General of the SEC, Dr Emomotimi Agama, during his keynote address at the 2025 Decentralised Finance (DeFi) Summit held in Lagos.
Agama stated that the commission is not seeking confrontation with DeFi innovations but is, instead, aiming to attract credible participants and foster a healthy and transparent digital financial space.
“Our objective is not to stifle innovation, but to build a robust regulatory environment where responsible DeFi can flourish. Through collaboration with industry developers, we are laying the foundation for stablecoin regulation that ensures transparency, security, and financial inclusion.”
To bolster investor protection and promote responsible participation in the digital asset space, the SEC is also launching a nationwide awareness campaign titled “Crypto Smart, Nigeria Strong.”
The initiative, targeting young Nigerians across schools, universities, and social media platforms, is designed to enhance digital literacy. It will focus on fundamental blockchain education, recognising scams, and the long-term value of informed investing.
“The future of Nigeria’s digital asset ecosystem rests on three essential pillars: collaboration, innovation, and trust,” Agama noted.
Outlining the commission’s vision for regulatory evolution, he highlighted an overhaul of the licensing regime to align with global best practices.
This includes the introduction of a tiered Virtual Asset Service Provider (VASP) licensing framework, streamlined application processes, and the integration of automated compliance monitoring systems.
The aim is to strike a balance between innovation and investor protection.
A key component of this evolution is the development of a regulatory framework for Naira-pegged stablecoins. According to Agama, these digital currencies will be fully backed by verifiable reserves, subject to regular audits by independent custodians.
He added that they are expected to facilitate real-world economic activities such as cross-border transactions, retail payments, and programmable financial services.
“Creating a well-defined regulatory structure for stablecoins ensures that digital asset innovation serves economic growth, not just speculative interests,” he said.
