For millions of Nigerians who use crypto to save, trade, or move money across borders, the rules are starting to feel more real. What was once a largely informal space is now being pulled firmly into the country’s tax system under the Nigeria Tax Administration Act (NTAA) 2025.
The shift isn't only about cryptocurrency. It reflects a broader effort by the federal government to improve tax collection, reduce leakages, and better track how money moves in a fast-growing digital economy. For everyday users, it means crypto activity is no longer flying under the radar.
At the heart of the new law is a simple idea. Crypto transactions should be tied to real people and real businesses. Under the NTAA 2025, digital asset activity must now be linked to a Tax Identification Number (TIN) and the National Identification Number (NIN).
Ogbonda Chivumnovu
By connecting crypto wallets and exchange accounts to these identifiers, the government can match digital asset income with tax records and check whether earnings line up with what individuals and businesses declare. In practice, this makes anonymous crypto activity far harder to maintain.
Oversight of this system falls to the newly created Nigeria Revenue Service (NRS), which replaces the Federal Inland Revenue Service. With access to both tax data and identity records, the NRS is expected to gain a clearer picture of who is earning from crypto and how much tax is owed.
What Does This Tax Law Mean for Exchanges and Wallet Providers?
Crypto exchanges and wallet providers are now central to enforcement. Under the new framework, these companies are required to regularly report user activity to the NRS. This includes customer details and the value of crypto transactions, converted into naira.
They're also required to keep records for several years, making it much harder for past activity to disappear. The law gives regulators stronger enforcement powers, with heavy fines for non-compliance and the risk of losing operating licenses for repeat violations. This signals that the government is moving beyond guidance and into active enforcement.
How Crypto Profits Will Be Taxed in Nigeria
Another major change is how crypto gains are treated for tax purposes. Previously, profits from digital assets were generally taxed under a flat capital gains approach. Under the NTAA 2025, crypto income now falls under “chargeable gains.”
For individuals, this means crypto profits are taxed more like regular income and are tied to personal income tax bands. For companies, crypto-related earnings are taxed at rates similar to standard corporate income.
Put simply, crypto is no longer a special category. The government is saying that money earned from digital assets should be treated the same way as money earned from other sources.
Is Nigeria's New Crypto Tax Rules Part of a Global Shift?
Nigeria’s move isn't happening in isolation. The new framework closely aligns with the OECD’s Crypto-Asset Reporting Framework, which aims to reduce cross-border tax evasion and improve information sharing between countries.
Officials have pointed to tens of billions of dollars flowing into Nigeria through digital assets in a single year, a figure that helps explain why regulators no longer see crypto as a niche activity.
Taken together, the NTAA 2025 and the Investment and Securities Act 2025 mark a clear turning point. Crypto is now formally recognized, closely monitored, and clearly taxable.
For users, this brings less uncertainty about where crypto stands legally, but far more responsibility. For the government, it opens a new revenue stream and tighter control over a rapidly growing sector. The message is simple. Crypto is staying in Nigeria, but it now has to play by the same rules as the rest of the economy.
Louis Eriakha
