Crypto traders about to feel Nigeria's new tax sting

The Nigeria Revenue Service has released new guidelines that will tax crypto transactions at almost every stage, and the numbers are enough to make any trader pause. A ₦1 million Bitcoin purchase now attracts a 1.5% stamp duty immediately, meaning you only get 98.5% of the Bitcoin you paid for. If the price doubles and you sell, you face another 1.5% stamp duty on the sale, plus a 1% withholding tax, and then income tax on any profit above ₦800,000. The total tax bill on that simple trade could hit ₦64,250 before you even factor in exchange fees or network charges.

The government is projecting stamp duty revenue to balloon to ₦456.07 billion by 2026, so this is clearly a deliberate money-spinner. The NRS even stated that “a single transaction may give rise to more than one tax liability such as income tax, VAT or stamp duty.” So while the government is finally recognising crypto, it is also squeezing every kobo out of it. My question is, with this kind of layered taxation, is crypto still worth it for the average Nigerian trader, or is this the end of the road for small players?