Nigeria Bans Algorithmic Stablecoins Under New Licensing Rules

Nigeria’s central bank introduced stablecoin licensing regulations effective November 5, 2026. The regulations prohibit algorithmic stablecoins and fiat-referenced tokens primarily backed by cryptocurrencies. Naira stablecoin issuers must maintain at least ₦10 billion in paid-up capital. Foreign-currency stablecoin issuers must maintain at least ₦15 billion in paid-up capital. Licensed stablecoin issuers must maintain full reserve backing and an additional 2% collateral buffer. Existing operators have 30 days to register and 180 days to submit licensing applications. Nigeria’s central bank introduced stablecoin licensing rules and banned algorithmic tokens on November 5, 2026.

Source: CoinCentral