The Africa Stablecoin Network has thrown its weight behind Governor Olayemi Cardoso of the Central Bank of Nigeria over his call to modernise cross-border payments, urging regulators to adopt a coordinated framework that would unlock the benefits of stablecoins for the Nigerian economy.
Cardoso, speaking at the Intergovernmental Group of Twenty-Four Technical Groups Meeting, said cross-border payments remain slow, costly and fragmented, particularly for developing economies.
“Today, cross-border payments remain too slow, too costly, and too fragmented, especially for developing economies. With global remittance corridors costing over 6.0 per cent, settlement lags of several days, and compliance burdens that exclude MSMEs, millions remain disconnected from global opportunity,” he said.
In a statement on Tuesday, the Africa Stablecoin Network said it shares the apex bank’s vision for faster, cheaper and more inclusive payment systems, adding that stablecoins and digital payment infrastructure could help achieve those objectives if supported by clear and harmonised regulation.
The President of the network, Nathaniel Luz, said stablecoins address real economic constraints across the continent.
“While stablecoins are a luxury for the West, they are a lifeline for Africa. For our continent, the conversation is not about speculation; it is about solving real payment and trade problems,” Luz said.
According to the group, cross-border transactions that currently take between two and five days could be completed within minutes using stablecoin infrastructure. It added that remittance costs of five to seven per cent through traditional channels could fall to below 1 per cent under a blockchain-based settlement system.
The network said such efficiency gains would significantly benefit micro, small and medium enterprises by improving cash flow, accelerating payments to suppliers and supporting broader participation in intra-African trade under the African Continental Free Trade Area.
While acknowledging concerns raised by the CBN around currency substitution, foreign exchange volatility and financial stability, ASN argued that these risks can be mitigated through a properly designed regulatory framework rather than delaying adoption.
It pointed to the Investment and Securities Act 2025, which empowers the Securities and Exchange Commission to regulate digital assets, as a significant step toward providing legal clarity.
Quoting the Director-General of the SEC, Dr Emomotimi Agama, at the Nigeria Stablecoin Summit 1.0, the network noted his remarks that Nigeria is open for stablecoin business “but on terms that protect our markets and empower Nigerians”, and that the commission’s regulatory sandbox continues to attract interest from local and international start-ups.
ASN further stated that the CBN’s Payments System Vision 2025 offers a pathway for collaboration between the Central Bank and the SEC on the potential implementation of stablecoins within a regulated environment.
Addressing concerns about the impact on the naira, Luz said clear regulation would enhance transparency and bring more economic activity into the formal financial system.
“When stablecoins operate within a clear Nigerian regulatory framework, transactions become more transparent, value flows are easier to monitor, and economic activity that currently sits outside formal channels is brought into the system,” he said.
He added that the real risk to monetary sovereignty lies in “being left behind while others shape the future of money”.
The network called for a unified national strategy aligning the roles of the SEC, CBN, the Nigerian Financial Intelligence Unit, the Nigeria Data Protection Commission and other agencies to ensure that innovation does not outpace oversight.
“The way forward is not hesitation but coordination, clarity, and forward-thinking regulation. By bringing its regulatory institutions together under a unified framework, Nigeria can turn today’s payment challenges into tomorrow’s economic advantage,” Luz said.
