Nigeria's Tax Authority Proposes New Crypto Regulation Bill
Nigeria's Federal Inland Revenue Service (FIRS) is planning to introduce a comprehensive new law to regulate cryptocurrencies in the country. The proposal, which will be presented to the National Assembly in September, is part of a larger effort to modernize Nigeriaâs tax system.
FIRS Executive Chairman Zacch Adedeji announced this initiative during a meeting with the National Assembly's Finance Committees. The proposed law aims to harness the benefits of the growing cryptocurrency industry for Nigeria's economy while addressing potential risks.
Adedeji stressed the importance of having clear regulations for cryptocurrencies, calling for cooperation between the FIRS and lawmakers to draft and implement the new bill. This law will not only focus on digital assets but also simplify and update outdated tax laws to better fit the digital age.
This move reflects Nigeria's growing recognition of the significance of digital assets. Recently, the Nigerian Minister of Finance, Wale Edun, encouraged the Securities and Exchange Commission (SEC) to address the complexities of cryptocurrency regulation. The SEC has already started updating its rules on digital asset issuance and trading platforms to keep up with the evolving market.
With new appointments to the SEC board, approved by President Bola Tinubu in April 2024, Nigeria might be entering a new phase of financial regulation. The crypto community in Nigeria is also advocating for responsible regulation, urging the government to avoid harsh restrictions on digital assets.
