Central Bank Has Clarified Its Position On Crypto Currency And Stablecoins

The Central Bank of Nigeria (CBN) has clarified its position on trade in crypto currency and stablecoins amidst open arms reception of innovation in the industry.

The bank’s position was restated by its Governor Olayemi Cardoso, at a public dialogue the Wheeler Institute for Business and Development at the London Business School.

The apex bank governor said that innovation was welcome, but that it should not come at the expense of financial stability.

The CBN, Cardoso stated remained committed to a balanced, risk-based approach in regulating cryptocurrencies and stablecoins, and begun adopting new supervisory strategies.

Such strategies, he state would combine openness to technological advancement with firm risk controls.

“The crypto market in Nigeria developed a life of its own.

“Innovation is good, but it must rest on transparency and sound risk management. Innovation is welcome; unregulated risk is not.

“Stablecoins and new payment rails can deepen inclusion, but if left unchecked, they can also accelerate dollarization. Our role is to ensure that innovation strengthens, not weakens, the naira”, Cardoso stated.

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“Our board recently held a retreat themed Digitalization and Artificial Intelligence.

“We have already adopted AI in parts of the Bank. By 2026, we aim for a digital-first regulatory culture that makes oversight faster, smarter, and more transparent”, he told participants at the event which received support from J.P. Morgan and Goldman Sachs

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