Nigeria to Introduce Tax on Crypto

Nigeria’s Securities and Exchange Commission (SEC) is developing a plan to impose taxes on crypto transactions as part of a broader strategy to boost government revenue, according to a Bloomberg report on February 18.

The report indicates that the regulatory body aims to include eligible crypto transactions conducted on licensed exchanges within the nation’s tax framework. A bill detailing the proposed tax structure is currently under review and could receive approval within the quarter.

Although the SEC hasn’t specified the anticipated revenue from this initiative, officials expect a substantial influx, given Nigeria’s position as a leading country in crypto adoption.

Some cryptocurrency exchanges have already begun implementing tax measures. For example, KuCoin, a prominent trading platform in Nigeria, started charging a 7.5% value-added tax (VAT) on trading fees for its Nigerian users last year.