It’s Official: SEC Grants First Round of VASP Licenses under New 2025 Act
The days of trading Bitcoin in the shadows are over. Following the signing of the Investments and Securities Act (ISA) 2025 earlier this year, the Securities and Exchange Commission (SEC) has officially begun issuing Virtual Asset Service Provider (VASP) licenses this December.
The News
For the first time, crypto exchanges in Nigeria are operating with full legal backing—not just a "no objection" letter.
- The Change: The ISA 2025 explicitly defines digital assets as securities. This gives the SEC the legal teeth to regulate (and tax) the market.
- The Winners: Local exchanges like Quidax and Busha (who have been in the regulatory sandbox) are expected to be the primary beneficiaries of this new clarity.
- The Losers: Peer-to-Peer (P2P) merchants on WhatsApp and Telegram. The new laws place heavy penalties on "unlicensed aggregators."
The Banking Connection
This is the final piece of the puzzle. With VASP licenses in hand, these crypto exchanges can now legally open corporate bank accounts with Tier-1 Nigerian banks. The "crypto ban" era of 2021-2023 is now a distant memory.
What to Watch in Q1 2026
Expect to see aggressive marketing campaigns from these licensed exchanges. Now that they can advertise on billboards and TV without fear of a CBN crackdown, the race to capture the retail market is back on.
