Central Bank of Nigeria issued a licensing framework on November 5 for stablecoins, payments, custody, transfers and remittances involving non-security virtual assets. It is not a blanket legalisation of crypto activity: investment-like tokens may face separate securities oversight, and each stablecoin requires approval.
The framework sets separate classes for naira- and foreign-currency-referenced stablecoins. Reported minimum paid-up capital requirements are 10 billion naira and 15 billion naira, respectively, and the bank can require more. The rules set reserve, redemption and local-presence obligations and restrict algorithmic designs that rely mainly on market mechanisms to hold their value.
According to the circular, the framework can apply to regulated activity conducted in or from Nigeria, directed at Nigerian residents, or materially affecting Nigerian payment and financial systems. A foreign operator’s lack of a physical presence does not necessarily exempt it. Transitional provisions apply to existing operators, but the excerpt does not give their deadlines.
