Morganable Technology | Innovation
Nigeria’s Securities and Exchange Commission is working to give fintech and digital asset operators clearer routes into the financial market while strengthening compliance and investor protection.
Lagos —
Nigeria’s Securities and Exchange Commission (SEC) is moving to create clearer regulatory pathways for fintech and digital asset companies seeking to operate in the country’s capital market.
The Commission said the move is designed to support innovation while protecting investors and maintaining stability across Nigeria’s growing digital financial ecosystem.
SEC Director-General, Emomotimi Agama, disclosed this on Wednesday, October 7, 2026, at the Commission’s second Bi-Annual Regulator/FinTech Clinic in Abuja.
Agama said the SEC did not intend to restrict fintech and digital asset businesses from operating. Instead, he said the regulator wanted digital platforms to understand the requirements for entering the market and growing within the rules.
“We want the digital platforms to enter the market through clear pathways,” Agama said.
He also urged fintech operators to comply with the Investments and Securities Act 2025 and other relevant regulations.
According to the SEC, the focus is to create an environment where technology-driven financial businesses can develop while operators, investors and customers have stronger protection.
The latest position comes as fintech and digital asset businesses continue to introduce new financial products and services to Nigerians. However, rapid innovation has also created new regulatory challenges for authorities.
Nigeria SEC Sets Clearer Path for Fintech Regulation
For the SEC, one of the key concerns is ensuring that companies entering the financial market have the systems and resources needed to operate responsibly.
The Commission’s Executive Commissioner, Operations, Bola Ajomale, said some fintech and digital asset businesses face difficulties during the registration process because of unclear business proposals, weak risk-management structures, inadequate capital and poor compliance plans.
These challenges, he explained, can slow down the approval process and create additional risks for the market.
As a result, the SEC said it would continue to strengthen its capacity so that its regulatory framework can keep pace with changing financial technologies.
The Commission also explained the role of its Approval-in-Principle process.
Janet Joseph, Divisional Head of Virtual Assets and FinTech Supervision at the SEC, said Approval-in-Principle is a controlled supervisory pathway and should not be mistaken for a final licence.
The process allows the regulator to examine important areas of a company before making a final registration decision. These include corporate governance, capital readiness, technology controls and measures designed to protect investors.
This approach could give fintech businesses a clearer understanding of what regulators expect before they fully enter the market.
At the same time, it places greater responsibility on operators to build businesses that can withstand financial and operational risks.
The SEC also stressed the importance of having genuine capital available to support fintech operations.
Nigeria SEC Sets Clearer Path for Fintech Regulation
Abdulrazak Mohammed, Head of the Commission’s Inspectorate Division, said capital should provide a financial buffer against difficulties rather than being based on clients’ funds, borrowed money or unrealised assets.
The message is significant for fintech businesses because access to technology alone does not guarantee long-term survival in financial services.
Companies also need sound governance, adequate capital, effective risk controls and strong compliance systems.
Meanwhile, the Nigerian Financial Intelligence Unit (NFIU) called for stronger anti-money laundering measures among digital asset operators.
Aminu Garba, Acting Head of Operational and Digital Intelligence at the NFIU, said investment fraud accounted for half of the cases investigated by the agency.
Nigeria SEC Sets Clearer Path for Fintech Regulation
He urged digital asset businesses to conduct proper customer due diligence, monitor cross-border transactions, screen customers and report suspicious activities.
These requirements are becoming increasingly important as digital platforms make financial transactions faster and easier.
For customers, stronger oversight could also improve confidence in digital financial services. When operators follow clear rules and maintain effective controls, users are more likely to trust the platforms handling their money and investments.
However, the SEC’s approach also shows that regulation is becoming more demanding for businesses in the sector.
Fintech operators will need to understand exactly what their registration permits them to do. The SEC’s Enforcement Division warned that some companies have moved beyond their approved capital-market activities to offer services that were not covered by their registration.
Such practices could expose both operators and customers to unnecessary risks.
Therefore, fintech companies may need to pay greater attention to compliance as they expand their products and services.
The Commission has also indicated that it wants more engagement with industry players. Its FinTech Clinic provides an opportunity for regulators and businesses to discuss registration, capital requirements, compliance and emerging financial technologies.
The SEC’s latest position could therefore mark a shift towards a more structured relationship between regulators and fintech companies.
Rather than treating regulation only as a barrier, the Commission wants businesses to understand the requirements for sustainable growth.
For Nigeria’s fintech industry, the challenge will be finding the right balance between innovation and control.
Technology companies need enough room to develop new financial solutions, while regulators must ensure that innovation does not create new avenues for fraud, financial instability or consumer losses.
With the SEC promising clearer pathways while demanding stronger compliance, fintech operators now face a more defined responsibility.
The direction is clear: innovation remains welcome, but companies entering Nigeria’s financial market will increasingly be expected to combine technology with adequate capital, sound governance and responsible business practices.
