The 2025 Report on the State of Digital Assets Regulation in Africa, just released by Yellow Card, has ranked Nigeria as the leading country in the adoption of stablecoins globally.
The country also emerged as the second in the world in overall digital asset usage, coming behind India, according to the report by Africa’s leading licensed stablecoin payments orchestrator.
The report, described as the most comprehensive analysis of digital asset regulation on the continent, highlights how Nigerians are leveraging blockchain-based financial tools, particularly USD-denominated stablecoins, for a variety of practical use cases, including cross-border payments, currency hedging, and access to U.S. dollars.
Nigeria has 25.9 million digital asset users
According to the findings, Sub-Saharan Africa boasts the world’s highest stablecoin adoption rate at 9.3%, with Nigeria leading the pack.
The country has an estimated 25.9 million digital asset users, reflecting an 11.9% penetration rate, positioning it as the second-largest market for digital assets globally, behind only India.
Yellow Card’s report attributes this widespread adoption to Africa’s unique macroeconomic and financial challenges, where stablecoins offer a reliable alternative amid currency devaluation, inflation, and costly remittance channels.
“Stablecoins have become an increasingly critical tool for Africans seeking more efficient and accessible financial solutions. Nowhere is this more evident than in Nigeria.
“Nigeria’s leadership in stablecoin adoption and digital asset usage is not just a tech milestone; it’s a signal of how financial innovation can thrive in response to local needs. The rest of Africa is clearly following,” said Yellow Card.
Africa’s growing digital asset footprint
Beyond Nigeria, nine other African countries feature in the global top 50 for digital asset adoption: Ethiopia (26th), Morocco (27th), Kenya (28th), South Africa (30th), Uganda (34th), Algeria (43rd), Egypt (44th), Ghana (46th), and the Democratic Republic of the Congo (48th).
- Despite regulatory uncertainty in some of these countries, including outright bans or restrictions in Algeria, Egypt, Morocco, and Tunisia, the report estimates that Egypt and Morocco alone have over 17 million users combined.
- Morocco is expected to introduce a comprehensive regulatory framework for digital assets by the end of 2025.
- In total, Africa is home to over 54 million digital asset users.
- Yellow Card noted that with digital asset usage soaring among individuals, businesses, and increasingly financial institutions, regulatory attention across the continent is intensifying.
Governments are exploring various approaches, ranging from regulatory sandboxes and draft legislation to fully enacted laws governing virtual asset service providers (VASPs).
Some countries are also trialing Central Bank Digital Currencies (CBDCs), with an eye on public policy objectives like financial inclusion, monetary stability, and economic resilience. In many cases, CBDC initiatives are proceeding cautiously, often at the expense of faster-moving digital asset innovation.
“While regulatory frameworks remain uneven across the continent, the momentum is clearly shifting toward formal recognition and oversight of digital assets,” the report noted.
A path toward financial inclusion
Yellow Card projects that as more African nations develop clear regulatory regimes, investor confidence will rise, unlocking further adoption and capital inflows into the digital asset ecosystem.
This, in turn, could drive financial inclusion, support economic growth, and enhance access to global financial systems.
The report also cites growing international collaboration and increased government support as indicators that digital assets are becoming a permanent feature of Africa’s financial landscape.
