The Central Bank of Nigeria (CBN) has opened applications for the second cohort of its Regulatory Sandbox Programme, inviting fintechs, virtual asset service providers (VASPs), financial institutions and technology firms to test innovative financial products under controlled regulatory supervision.
Applications open on August 12 and close on August 31, 2026, through the CBN Regulatory Sandbox Portal.
The programme marks a fresh step by the apex bank to deepen innovation in Nigeria’s digital financial ecosystem while containing emerging risks to consumers and the wider financial system.
For Cohort 2, the CBN created two specialised testing tracks: the Virtual Asset Service Provider (VASP) Track and the Data-Enabled Financial Services (Non-VASP) Track.
The VASP track targets innovations involving virtual assets, stablecoins, payment and settlement systems, custody solutions and digital wallets that require supervised live testing.
The Data-Enabled Financial Services track, meanwhile, targets innovations using secure digital infrastructure and permission-based data sharing to improve financial inclusion, payments, credit, risk management and consumer outcomes.
The launch follows President Tinubu’s July 18 executive order creating a unified regulatory framework for virtual assets in Nigeria, and comes as fintechs and other technology firms increasingly develop products that challenge traditional models of banking, payments and lending.
CBN Says Sandbox Participation Is Not A Licence To Operate
A regulatory sandbox is a controlled testing environment where eligible participants can trial new financial products, services and technologies under a regulator’s direct supervision, before those products reach the wider market.
The CBN said the programme would facilitate continuous engagement between regulators and innovators, helping it develop appropriate regulatory and supervisory frameworks as new technologies emerge.
Applicants will be assessed on their level of innovation, readiness for controlled live testing, potential consumer and market benefits, governance arrangements and risk-management capacity.
Successful participants will operate within parameters agreed with the CBN, covering consumer protection, operational resilience, cybersecurity and regulatory reporting.
The apex bank stressed that participation in the sandbox does not constitute a licence, authorisation or approval to operate outside the approved testing parameters, but is instead meant to promote responsible experimentation and evidence-based policymaking.
As Nigeria’s digital financial ecosystem expands, information generated from the supervised testing could shape how the CBN eventually regulates virtual assets, stablecoins and other data-driven financial services.
The CBN said it remained committed to fostering an innovative, resilient and inclusive financial ecosystem while maintaining the safety, soundness and integrity of Nigeria’s financial system.
