…..Says the future of finance is digital
By Abubakar Yunusa
The Securities and Exchange Commission has partnered with the Central Bank of Nigeria and the Economic and Financial Crimes Commission to track and freeze illicit digital wallets linked to money laundering and other financial crimes.
The Director-General of the Commission, Dr Emomotimi Agama, disclosed this in Abuja during a lecture at the Abuja Journalists Academy on “The Regulation of Digital Assets and Virtual Asset Service Providers in Nigeria.”
Speaking through the Head of the External Relations Department, Mrs Efe Ebelo, Agama said the collaboration marked a major milestone in protecting investors and strengthening integrity in Nigeria’s fast-expanding digital finance ecosystem.
“To strengthen enforcement, the SEC is working closely with the CBN and EFCC to freeze illicit digital wallets and recover criminal proceeds.
“Our goal is to ensure that innovation serves progress, not predation,”he said.
Agama observed that Nigeria ranks among the world’s top adopters of digital assets, with over one-third of the population engaged in crypto-related activities.
While acknowledging the creativity of Nigerian youths and the rise of mobile technology, he warned that the growth of digital assets had also created opportunities for abuse through scams, fake wallets, and phishing attacks.
“Without strong regulation, innovation can quickly become vulnerability,” he cautioned. “Regulation is not about restriction; it is about building trust and ensuring innovation strengthens our economy rather than weakens it.”
According to him, the SEC’s regulatory framework for Virtual Asset Service Providers, introduced in 2022, rests on three key pillars — licensing, compliance, and transparency.
Beyond issuing rules, he said, the Commission is now using blockchain analytics and artificial intelligence to monitor transactions, detect fraud, and enhance cybersecurity.
“We are leveraging blockchain analytics, AI, and advanced monitoring systems to strengthen our supervisory capacity.
“This will help us respond faster to suspicious transactions and protect market integrity”,he explained.
Agama noted that the partnership with the CBN and EFCC would improve coordination between financial regulators and law enforcement agencies, enabling swift action against cross-border financial crimes.
Placing Nigeria’s approach in global context, he said the Financial Action Task Force now requires all virtual asset service providers worldwide to implement anti-money laundering and counter-terrorism financing controls.
Citing frameworks such as the EU’s MiCA and growing enforcement in the United States, he stressed that digital finance must be “as transparent, accountable, and investor-friendly as traditional finance.”
“If regulators clamp down too hard, innovation migrates offshore; if they regulate too softly, risks multiply,” he said. “Our task is to find the right balance that encourages creativity while protecting Nigerians from exploitation.”
He concluded by reaffirming the SEC’s commitment to building a digital finance ecosystem grounded in ethics, transparency, and trust.
“The future of finance is digital,but its foundation must remain ethical, transparent, and trustworthy. Trust is the ultimate currency — and our highest duty as regulators is to preserve it.”Agama said.
