Nigerian SEC Introduces Stricter Crypto Rules

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The Nigerian Securities and Exchange Commission (SEC) has recently updated its regulations concerning cryptocurrencies, specifically targeting the marketing of crypto products and services by virtual asset service providers (VASPs) and social media influencers.

Under the revised Digital Asset Rules, VASPs must obtain approval from the SEC before utilizing third-party service providers for promoting their crypto offerings. Furthermore, these service providers must adhere to the marketing guidelines outlined by the SEC.

These new rules apply to all VASPs serving the Nigerian population and will become effective on June 30, 2025. In an effort to address the impact of social media influencers, also known as “Finfluencers,” the SEC has implemented regulations requiring them to obtain a “no-objection authorization” before advertising any digital asset-related content.

They must also confirm whether the company they are promoting is licensed by the SEC. Additionally, these influencers must disclose any payment received for promoting crypto products or services. Failure to comply with these regulations may result in penalties, including a minimum fine of 10 million Nigerian naira (approximately $6,400) or up to three years imprisonment.