Cardoso harps on proper cryptocurrency regulation

Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has called for a structured and collaborative framework for cryptocurrency regulation in Nigeria, emphasizing that the nation stands to gain significantly from the global digital asset boom—if properly managed.

Speaking at the inaugural CBN Governor’s Lecture Series held at the Lagos Business School (LBS) on Friday, Cardoso reflected on the rapid evolution of digital currencies and the regulatory loopholes that allowed crypto trading to grow largely unchecked in previous years.

He noted that Nigeria has become one of the leading markets for digital asset transactions in the world, with citizens trading billions of naira worth of crypto assets annually. However, he cautioned that the sector’s potential can only be maximized through a clear, transparent, and enforceable regulatory roadmap.“Nigerians can indeed benefit from the crypto revolution, but it must be under a properly regulated environment,” Cardoso said. “Our goal is to foster innovation while maintaining financial stability and protecting investors.”

The CBN governor disclosed that the apex bank, in collaboration with the Securities and Exchange Commission (SEC), is developing a comprehensive framework to govern the use of digital currencies and crypto-based financial products.

The initiative, he explained, seeks to balance innovation with the safety and soundness of the financial system.

Industry experts project that a well-regulated crypto market could attract up to $15 billion in foreign direct investment, enhance financial inclusion for millions of unbanked Nigerians, and drive economic diversification amid fluctuating oil revenues.

Cardoso said the CBN-SEC collaboration would focus on strengthening oversight, fostering transparency, and mitigating riskssuch as money laundering and terrorism financing. He added that regulated crypto could also boost stablecoin adoption, citing examples of local platforms already leveraging digital tokens to accelerate payments and settlements.

As Nigeria deepens its transition toward a digitally driven economy, Cardoso reaffirmed the CBN’s commitment to creating an ecosystem where innovation thrives under prudent regulation.

“By embracing proper regulation, Nigeria can unlock its fintech potential and position itself as a continental leader in digital finance,” he stated.

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