virtual assets

The Nigerian government has issued guidelines for the taxation of cryptocurrency and virtual assets, aiming to provide taxpayer certainty, improve compliance, and integrate the growing virtual asset ecosystem into the tax system. Penalties are imposed for non-compliance.

President Tinubu signed an Executive Order to regulate virtual assets and establish the Virtual Asset Council. The move addresses a fragmented regulatory environment where virtual assets blur traditional boundaries between currencies, money, commodities, and securities.

The Virtual Assets Regulatory Authority (VARA) CEO highlights the critical role of regulators in shaping AI's impact on finance, emphasizing the need for infrastructure innovation to keep pace with virtual assets' programmable and borderless nature. The article contrasts advanced regulatory technology programs in some jurisdictions with outdated methods in others, noting challenges in compliance and the growing integration of tokenized assets into traditional finance.

Vietnam’s Ministry of Finance has proposed allowing small and medium enterprises (SMEs) to use digital assets, virtual assets, and intellectual property as collateral for loans. The initiative aims to expand financing options for SMEs by recognizing non-traditional assets as security.

Brazil’s central bank prohibited the use of virtual assets for settlement within regulated eFX payment rails, signaling stricter oversight of crypto-related financial flows. The move aims to reinforce regulatory control over cross-border payment systems.