Nigeria’s Securities and Exchange Commission (SEC) has proposed new rules that cap how much retail investors can commit to digital asset offerings while broadening the regulatory framework for the sector. Under the draft “Rules on Digital and Virtual Asset Operations, Custody and Markets” published on 20 August 2026, a retail investor would be allowed to invest up to ₦1 million per issuer in a digital asset offering, with the total across all such offerings not exceeding ₦10 million within any 12‑month period.
These limits are five times higher than an earlier SEC framework that capped retail exposure at ₦200,000 per issuer and ₦2 million annually. If an investor seeks to commit more than ₦1 million or 5% of their net worth (whichever is higher), the offering platform must undertake additional checks before accepting the investment.
The proposed rules cover issuance and offering of digital assets, tokenization, trading, custody, transfer and settlement, as well as investment and advisory services linked to digital assets, and apply to operators in Nigeria, service providers dealing with Nigerian residents, and entities targeting Nigerian investors via digital channels.
Alongside the investment caps, SEC is expanding its regulatory perimeter for virtual asset service providers, including admitting more firms into its Accelerated Regulatory Incubation Program under supervised conditions, while repeatedly warning the public against unregistered online investment schemes and urging verification of operators’ registration status. The framework also introduces safeguards such as a five‑business‑day cooling‑off period for retail participants in digital asset offerings, with subscription funds held in trust or escrow during that window. SEC has further invited comments on the proposed rules from stakeholders and the public, to be submitted to its Rules Committee within two weeks of the exposure date.
