Nigerian Crypto Market Faces Tax-Driven Exodus

Nigeria's $92 billion virtual asset market is at risk of being driven offshore due to new tax guidelines, according to the Digital Assets Coalition. The coalition supports taxing real gains but objects to the charges on the gross movement of money rather than profit earned.

The new Guidelines on the Taxation of Virtual Assets came into force on August 3, 2026, and impose a 1.5 per cent stamp duty on every conversion between naira and digital assets, as well as a one per cent withholding deducted from the entire value of every sale.

Spokesperson for the Digital Assets Coalition, Obinna Iwuno, said: 'We support the taxation of virtual assets without qualification. Our concern is with a design choice that taxes the movement of money itself.'