Nigeria’s first comprehensive framework for taxing cryptocurrencies and other virtual assets is facing pushback from industry stakeholders, who argue that a new 1.5 percent stamp duty and stricter compliance requirements could increase the cost of trading and drive users away from regulated platforms.
The Nigeria Revenue Service (NRS) on Monday released the Guidelines on the Taxation of Virtual Assets, setting out how cryptocurrencies, stablecoins, non-fungible tokens (NFTs), decentralised finance (DeFi) activities, and other digital assets will be taxed under the Nigeria Tax Act and the Nigeria Tax Administration Act, both enacted in 2025.
While stakeholders described the framework as one of the most detailed crypto tax regimes introduced by an African country, many questioned the decision to impose a 1.5 percent stamp duty on fiat-to-crypto and crypto-to-fiat conversions, arguing that the additional charge could discourage users from regulated platforms and increase the overall cost of compliance.
“The 1.5 percent stamp duty on on/off-ramping has called for so many debates, especially regarding its execution,” said Favour Uche, a fintech and Web3 compliance lawyer.
Anita Ezeamama, a legal and tax adviser, said the provision was among her biggest concerns, arguing that the guideline would have benefited from broader industry consultation before it was issued.
