Nigeria to Track Crypto Transactions Using National Identification Numbers and Tax Records

Core Insights - Nigeria is implementing new tax law mechanisms to make cryptocurrencies traceable using national IDs, specifically through the Nigerian Tax Administration Act (NTAA) 2025 [1][5] - The government plans to track crypto transactions in real-time by linking them to Tax Identification Numbers (TINs) and National Identification Numbers (NINs) [1][2] Tax Tracking Mechanism - The new method allows tax authorities to monitor crypto transactions without directly accessing the blockchain, by matching crypto flows with income declarations and tax records [2][5] - Crypto exchanges and service providers are mandated to collect and report clients' TINs and NINs, expanding the identity tracing system to the crypto ecosystem [3][4] Regulatory Framework - The current tax law enables authorities to track crypto flows from exchanges to individuals and reported income without complex blockchain surveillance infrastructure [5] - Nigeria's approach aligns with the OECD's Crypto-Asset Reporting Framework (CARF) for global tax transparency [5] Cryptocurrency Adoption - Nigeria ranks as one of Africa's top cryptocurrency adopters, with an estimated market value gain of $92.1 billion between July 2024 and June 2025 according to Chainalysis' 2025 Global Adoption Index [6] - The Central Bank of Nigeria (CBN) has formed a task force to explore stablecoin adoption amid slow uptake of the eNaira and public skepticism regarding its performance [7]