CBN Opens Sandbox Applications for Banks, Fintechs, Crypto Firms, Unveils Deadline For Training
- The Central Bank of Nigeria opened applications for Cohort 2 of its Regulatory Sandbox Programme on August 12, 2026
- The programme features two tracks targeting virtual asset service providers and data-enabled financial services firms
- The sandbox launch follows President Tinubu's July 18 Executive Order creating a unified regulatory framework for virtual assets in Nigeria
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The Central Bank of Nigeria (CBN) has opened applications for the second cohort of its Regulatory Sandbox Programme, inviting banks, fintechs, virtual asset service providers (VASPs), financial institutions and technology companies to test innovative financial solutions under regulatory supervision.
Applications for Cohort 2 opened on August 12 and will close on August 31, giving eligible firms a limited window to submit their applications.
Source: Twitter
The programme is designed to give innovators a controlled environment to test new financial products, services, business models and technologies while allowing regulators to understand emerging risks and opportunities.
Two tracks available for applicants
The latest cohort features two major tracks.
The Virtual Asset Service Provider (VASP) track targets companies developing or providing stablecoin services, payment and settlement solutions, digital asset custody, wallets and related financial infrastructure.
The second, known as the Data-Enabled Financial Services (Non-VASP) track, is aimed at companies using secure digital infrastructure and permission-based data sharing to improve payments, credit, risk management, operational efficiency and financial inclusion, according to a statement by CBN.
The CBN said the sandbox will allow innovators and regulators to engage throughout the testing process, helping shape responsible innovation while protecting consumers and maintaining financial stability.
CBN, SEC tighten grip on digital assets
The sandbox comes as Nigeria moves to establish clearer regulatory boundaries around the rapidly expanding digital asset industry.
Under the emerging framework, the CBN will oversee virtual assets used for payments, including stablecoins, payment and settlement infrastructure, custody and wallet services.
The Securities and Exchange Commission (SEC), meanwhile, will regulate digital assets that have characteristics of securities.
The CBN had already begun testing its supervisory approach through a stablecoin-related pilot involving selected fintech companies, including Flutterwave, Paystack and Juicyway.
The new sandbox complements the SEC’s Accelerated Regulatory Incubation Programme (ARIP), which has admitted digital asset companies for supervised regulatory testing, TechCabal reported.
New regulatory push follows Tinubu’s Executive Order
The development follows President Bola Tinubu’s July 18 Executive Order establishing a harmonised regulatory framework for virtual assets through a Virtual Asset Council chaired by the CBN.
The Nigeria Revenue Service (NRS) and SEC serve as vice-chairs, while the Nigerian Financial Intelligence Unit and Office of the National Security Adviser are also members.
The framework is intended to close regulatory gaps, strengthen anti-money laundering measures, improve consumer protection and tackle fraud.
Huge market awaits regulation
Nigeria remains one of Africa’s biggest cryptocurrency markets. Chainalysis estimates that Nigerians transacted about $92.1 billion in cryptocurrency between July 2024 and June 2025, highlighting the enormous scale of the sector.
The CBN stressed that admission into the sandbox does not constitute a licence to operate outside approved testing parameters.
Source: Twitter
Successful participants will be expected to meet safeguards covering consumer protection, cybersecurity, operational resilience and regulatory reporting.
For eligible crypto and fintech companies, the August 31 deadline marks a significant opportunity to test their products within Nigeria’s emerging regulated digital finance ecosystem.
Nigerian bank issues fresh fraud alert
Legit.ng earlier reported that Nigerian banks have raised fresh concerns over the growing risk of fraud as consumers increase their use of digital payment channels for shopping, travel and other transactions.
The warning comes amid heightened spending during the peak travel and shopping season, when increased card usage, online bookings and cross-border payments could provide fraudsters with more opportunities to target unsuspecting customers.
Access Bank Plc has urged customers to be extra careful with online offers and promotions, warning that scammers could use attractive deals to steal sensitive banking information.
Source: Legit.ng
