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The Nigeria Revenue Service (NRS) has directed all cryptocurrency exchanges, Virtual Asset Service Providers (VASPs) and peer-to-peer (P2P) escrow operators to make a valid Tax Identification Number (Tax ID) compulsory before activating new customer accounts, in a major move to strengthen tax compliance in Nigeria’s fast-growing digital asset market.
The directive is contained in the Guidelines on the Taxation of Virtual Assets released on Monday as part of the Federal Government’s new framework for regulating and taxing cryptocurrencies, stablecoins, tokenised assets and other digital assets.
The latest requirement is expected to tighten oversight of Nigeria’s crypto ecosystem by ensuring that every individual or business participating in virtual asset transactions can be identified for tax purposes.
According to the guidelines, anyone engaging in virtual asset activities must first register with the tax authorities and obtain a Tax ID before carrying out taxable transactions.
“Any person engaged in VAs activities shall register for tax purposes and obtain a Tax ID,” the NRS stated.
The agency further directed licensed crypto operators to verify users’ tax registration before granting them access to their platforms.
“VASPs and P2P escrow operators are required to make a valid Tax ID a precondition for account activation in accordance with Section 8 of the NTAA,” the guidelines added.
Industry observers say the measure effectively integrates tax verification into the customer onboarding process for regulated cryptocurrency platforms operating in Nigeria.
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Beyond account registration, the guidelines introduce wider tax obligations for participants in the digital asset industry. Medium and large companies that earn profits from cryptocurrency and other virtual asset transactions will now pay a 30 per cent Corporate Income Tax on those gains under the Nigeria Tax Act, 2025.
The new rules form part of a broader government effort to bring Nigeria’s booming crypto market under a more structured regulatory and tax framework.
The policy follows President Bola Tinubu’s signing of the Presidential Executive Order on Virtual Assets Coordination, 2026, which established a coordinated framework for regulating cryptocurrencies and other digital assets across government agencies. The framework is designed to improve regulatory coordination, curb fraud and encourage innovation within the digital economy.
Nigeria remains one of Africa’s largest cryptocurrency markets, with industry estimates indicating that between 22 million and 26 million Nigerians own or use digital assets. Crypto has also become an increasingly popular option for cross-border payments, with studies showing that about 40 per cent of Nigerians use cryptocurrencies for international money transfers, well above the global average of 11 per cent.
The latest directive also builds on the unified Tax ID system introduced earlier this year by the NRS and the Joint Revenue Board. Under the system, individuals use their National Identification Number (NIN)-linked Tax ID, while registered businesses use their Corporate Affairs Commission (CAC) registration details for tax identification, simplifying compliance across financial services.
The NRS said the new crypto tax guidelines are part of its wider drive to improve revenue collection following the implementation of Nigeria’s new tax laws.
The agency is targeting N40.7 trillion in tax, petroleum royalty and other revenue collections in the 2026 fiscal year as it expands the nation’s tax base and strengthens compliance across emerging sectors of the economy.
