New whitepaper aims to streamline virtual asset oversight in Nigeria
The plan seeks to streamline coordination between key financial regulators while improving compliance and market transparency.
A Pan-African industry body, the Virtual Asset Service Providers Association, has introduced Project Green-White-Green, a policy framework designed to bring virtual asset transactions more fully into Nigeria’s formal financial system.
The proposal targets regulatory inefficiencies while seeking to capture an estimated $92.1 billion in annual transaction activity currently operating with limited formal integration.
VASPA Executive Chair Franklin Peters, who also leads Boundlesspay, said the framework addresses overlapping mandates among the Securities and Exchange Commission, Central Bank of Nigeria, and Corporate Affairs Commission. The model proposes more coordinated supervision, alignment of foreign exchange standards, and identity verification through integration with the National Identity Management Commission.
The whitepaper also introduces an API-based system intended to automate VAT and capital gains tax collection at the point of transaction. The aim is to reduce administrative friction, improve compliance, and create clearer regulatory pathways for Web3 businesses operating in Nigeria.
Although designed for Nigeria, the framework is presented as scalable across other African markets. Its proponents argue that better regulatory coordination and more structured taxation could support wider economic goals, including stronger formalisation and improved public revenue collection.
Why does it matter?
The framework directly tackles regulatory fragmentation that has slowed crypto and Web3 development in Nigeria.
By aligning the roles of the Securities and Exchange Commission of Nigeria, the Central Bank of Nigeria, and the Corporate Affairs Commission of Nigeria, it aims to reduce legal uncertainty and create a clearer path for startups to operate formally.
It also introduces structured taxation and compliance mechanisms, which could improve state revenue collection while bringing virtual asset activity into the formal economy.
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