On June 9, 2026, the Nigerian Senate passed a bill seeking to establish a clear legal and regulatory framework for virtual assets, and also adopted a motion to revive the country’s struggling textile industry. Sponsored by Deputy Senate President Barau Jibrin, the cryptocurrency legislation addresses the regulatory gaps in one of Africa’s largest digital asset markets.
Nigeria’s Senate Passes Crypto Bill and Moves to Revive Textile Industry
According to sources, Nigeria’s Senate has passed the Virtual Asset Service Providers Regulation Bill on second reading after a majority of senators supported it by voice vote. Contributors include Senators Oyelola Ashiru (Kwara South), Adetokunbo Abiru (Lagos East), Shuaib Salisu (Ogun Central), and Adams Oshiomhole (Edo North).
Separately, the Senate adopted a motion moved by Senator Sunday Marshall Katung and co-sponsored by Barau Jibrin and others, calling for urgent government intervention to revive the textile industry, particularly in the Kaduna-Kano axis. Lawmakers highlighted massive job losses, the near-total collapse of local production, and Nigeria’s heavy reliance on imports.
Why Nigeria Is Regulating Crypto Now
The regulation bill seeks to establish a comprehensive legal and regulatory framework for virtual and digital assets, as well as Virtual Asset Service Providers (VASPs), in Nigeria. It proposes mandatory licensing, transparency, and compliance requirements for cryptocurrency exchanges and related operators.
Nigeria ranks among the world’s top users of virtual assets, driven by young Nigerians using crypto for savings, cross-border remittances, investments, and as a hedge against naira volatility and high inflation. Mohammed Tahir Monguno, the Senate chief whip, said, “Nigeria has lagged behind several African countries in regulating the digital finance ecosystem despite recording one of the highest rates of cryptocurrency adoption on the continent.”
What’s Next for Nigeria’s Crypto and Textile Sectors?
After the passage, the bill was referred to the Senate Committee on Capital Market for further four weeks of legislative deliberation, including a public hearing. If eventually passed by the National Assembly and assented to by President Bola Tinubu, the proposed legislation could mark a significant shift in Nigeria’s approach to digital assets.
Nigeria recorded $92.1 billion in on-chain crypto value from July 2024 to June 2025, according to Chainalysis, ranking 6th globally in the 2025 Adoption Index with strong retail and DeFi activity. This rising adoption is prompting tighter regulatory oversight, with rules expected to mandate licensing, AML/CFT compliance, and stronger safeguards.
Furthermore, the Federal Government CTG Policy Framework is expected to be unveiled between June and July 2026. This renewed initiative follows earlier plans promising investments up to $3.5 billion in commitments and aims to revive cotton production, factories, and garment manufacturing, with targets of creating up to 1.5 million jobs. However, addressing power shortages and insecurity will be critical for sustainable growth.
Related: Nigeria Targets Crypto Income With National ID and Tax Monitoring
