Nigeria’s Securities and Exchange Commission (SEC) has proposed a ₦30 million registration fee and ₦2 billion minimum capital requirement for digital asset exchanges as it moves to strengthen regulation of the country’s crypto industry. The proposals form part of the SEC’s new Digital and Virtual Asset Operations, Custody and Markets Rules, released on August 20, 2026.
The framework would introduce higher financial requirements and broader obligations for companies operating across Nigeria’s digital asset market. The proposed changes could significantly raise the cost of operating a regulated crypto business in Nigeria.
SEC Proposes ₦30M Registration Fee for Crypto Firms
Under the proposed rules, several categories of digital asset businesses would pay a ₦30 million registration fee. These include Digital Asset Exchanges (DAXs), Digital Asset Custodians (DACs), Digital Asset Platform Operators (DAPOs), Digital Asset Offering Platforms (DAOPs), and Real-World Asset Tokenisation Platforms (RATOPs).
The proposal therefore extends beyond cryptocurrency exchanges. Companies involved in custody, digital asset offerings, tokenisation and other platform services would also face the new registration fee.
Crypto Exchanges Would Need ₦2 Billion Capital
The proposed framework would also increase minimum capital requirements for major digital asset businesses. Digital Asset Exchanges and Digital Asset Custodians would each need ₦2 billion in minimum capital. Meanwhile, Digital Asset Platform Operators, Digital Asset Offering Platforms and Real-World Asset Tokenisation Platforms would require ₦500 million each. The proposed capital levels represent a significant increase for exchanges.
The SEC’s existing rules set the minimum paid-up capital for a Digital Asset Exchange at ₦500 million. The new proposal would therefore quadruple that requirement to ₦2 billion.
Why the SEC Wants Higher Capital Requirements
The higher capital threshold could strengthen the financial resilience of regulated crypto businesses. A well-capitalised exchange may have greater capacity to meet operational obligations, manage risks and protect customers during periods of market stress. The proposal also fits into the SEC’s broader review of capital requirements across Nigeria’s financial market.
In January 2026, the Commission introduced revised minimum capital requirements for regulated capital market entities. It said the changes aim to strengthen market resilience, improve investor protection and align capital requirements with the risks associated with different activities. The latest digital asset proposal applies that approach more directly to the crypto sector.
New Rules Would Cover More Digital Asset Businesses
The SEC’s proposed framework is not limited to exchanges. It covers digital asset issuance, trading, custody, tokenisation, transfers and settlement. Investment and advisory services connected to digital and virtual assets also fall within the proposed framework. As a result, more businesses could come under formal SEC supervision.
The broader scope reflects the changing nature of Nigeria’s digital asset industry. Companies now offer services beyond simple crypto trading, including custody, tokenised assets and blockchain-based financial products.
Foreign Crypto Firms Could Also Face New Requirements
The proposed framework would also affect foreign companies targeting the Nigerian market. According to reports on the proposed rules, foreign digital asset businesses would need to comply with the SEC’s requirements and maintain a local presence.
The framework also proposes requirements around local representation and resident chief executives for operators. This could increase the compliance burden for international crypto platforms serving Nigerian users. At the same time, the approach could give the SEC greater oversight of offshore businesses with significant activity in Nigeria.
Retail Crypto Investors Could Face New Limits
The proposed rules also contain measures aimed at retail investor protection. The SEC has proposed limits on investments by retail investors in digital asset offerings. Under the proposal, retail investors would face a ₦1 million limit per issuer and a ₦10 million aggregate limit within a 12-month period.
The proposed framework would also require platforms to assess whether certain digital asset investments are appropriate for individual investors. These measures suggest that the SEC is focusing on both sides of the market. While businesses would face higher financial and compliance requirements, retail investors could face additional restrictions designed to limit excessive exposure.
What the New SEC Rules Mean for Crypto Exchanges
For Nigerian crypto exchanges, the proposed ₦2 billion capital requirement could become one of the biggest changes in the framework. Existing and prospective operators may need to raise additional capital before meeting the new threshold. Smaller businesses could feel the impact most strongly.
Some may need new investors or strategic partners to meet the requirement. Others could reconsider whether the Nigerian retail market remains commercially viable under the proposed framework. Larger exchanges, meanwhile, may have an easier path to compliance because of their stronger balance sheets.
The Rules Could Reshape Nigeria’s Crypto Market
The proposed fees and capital requirements could lead to a more concentrated digital asset market. Higher entry costs may discourage smaller operators from applying for licences. Over time, that could leave a smaller number of well-funded companies competing in the regulated market.
However, stronger requirements could also improve confidence among investors and financial institutions. The key question will be whether the final framework can strengthen market standards without making regulated crypto services unnecessarily expensive.
The SEC Rules Are Still Proposed
The requirements are not yet final. The SEC released the Digital and Virtual Asset Operations, Custody and Markets Rules for stakeholder review on August 20. The Commission has invited comments before finalising the framework.
That means the fees, capital requirements and other provisions could still change following industry feedback. Crypto companies, investors and other stakeholders therefore have an opportunity to respond to the proposed rules.
You may also like : SEC Calls on Nigerian Crypto Firms to Provide Transaction Data
Editorial Takeaway
The SEC’s proposal marks a significant tightening of Nigeria’s crypto regulatory framework. A ₦30 million registration fee would apply across several digital asset business categories, while exchanges and custodians would need ₦2 billion in minimum capital under the proposal.
The changes could strengthen the financial capacity of regulated operators and give investors greater protection. However, they could also make it harder for smaller crypto businesses to enter or remain in Nigeria’s regulated market. Because the rules are still under consultation, the final requirements may change.
