When will Nigeria begin taxing cryptocurrency?

Nigeria’s crypto tax regime is scheduled to begin on January 1, 2026, covering gains from digital asset transactions.

How much tax will Nigerians pay on crypto gains?

Reports indicate a tax-free threshold of around ₦800,000 and an estimated tax rate of about 15% on gains above that threshold. Final guidance from FIRS will clarify exact rates.

Is the U.S. eliminating taxes on Bitcoin?

U.S. Senator Cynthia Lummis advocates for reduced tax friction and exemptions for small Bitcoin transactions. Some coverage frames her stance as pushing to remove taxes on Bitcoin, but official legislative proposals mainly aim to simplify and reduce, not fully abolish, crypto taxes.

Could Nigeria’s crypto tax increase P2P trading?

Yes. Analysts say unclear exchange compliance or high tax pressure could push users toward peer-to-peer platforms or offshore exchanges.

Nigeria to Start Taxing Crypto in 2026, While U.S. Senator Lummis Pushes for Eliminating Bitcoin Taxes

Nigeria is moving toward taxing cryptocurrency gains from January 1, 2026, while U.S. Senator Cynthia Lummis is advocating for dramatic tax relief — including eliminating taxes on Bitcoin and crypto transactions. Here’s a clear, well-researched comparison of both policies and what they mean for users, exchanges, and regulators.

Nigeria’s New Crypto Tax Begins January 2026

Under Nigeria’s updated tax regulations, digital assets — including cryptocurrencies — will be taxed from January 1, 2026. Reports show the plan includes:

Tax-free threshold: approx. ₦800,000 on crypto gains
Estimated tax rate: around 15% on gains above the threshold
Exchanges & VASPs required to report transactions
Penalties for exchanges that fail to comply

Industry analysts warn that this may push many traders toward P2P platforms or offshore exchanges if compliance is unclear or difficult. Some operators say that without a smooth licensing and reporting framework, the policy could reduce transparency instead of increasing it.

Nigeria remains one of the world’s fastest-growing crypto markets, so the tax could have a major impact on volume and user behaviour.

Senator Cynthia Lummis Pushes to Reduce or Eliminate U.S. Crypto Taxes

Across the Atlantic, U.S. Senator Cynthia Lummis — one of the top pro-crypto lawmakers — is calling for lighter digital asset taxation. She has supported measures that:

Create a tax exemption for small Bitcoin payments (de minimis)
Reduce tax friction for using crypto in everyday transactions
Clarify rules around staking, payments, and digital asset classification

Some industry publications report her stance as pushing for the U.S. government to eliminate taxes on Bitcoin & crypto ASAP to encourage adoption—though the concrete legislative actions mainly seek clearer rules.

Her approach is the opposite of Nigeria’s: while Nigeria is introducing tax rules, Lummis aims to make crypto easier to use, easier to spend, and less complicated to report.

Lummis Unveils Digital Asset Tax Legislation

Side-by-Side Comparison

Nigeria (2026)	United States (Lummis)
Introduce crypto taxes to generate revenue	Reduce or eliminate some crypto taxes
Mandatory exchange reporting	Reduce reporting burden for small transactions
Risk of pushing traders to P2P	Encourage everyday crypto spending

What Nigerian Crypto Users Should Watch

Final FIRS guidance on how gains will be calculated
Whether losses will be deductible
How exchanges will implement reporting requirements
The impact on P2P trading and offshore platforms

While Nigeria prepares for taxation, the U.S. crypto policy is headed in a different direction — one aimed at reducing tax friction and boosting adoption.

Conclusion

Nigeria’s crypto tax plan set for 2026 will reshape trading behaviour and exchange compliance. Meanwhile, U.S. Senator Lummis’ proposals highlight a global divide in digital asset policy — with some governments tightening tax rules while others push for adoption through tax relief.

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