Central Bank of Nigeria (CBN) Regulatory Sandbox – Cohort 2
Overview
The Central Bank of Nigeria (CBN) Regulatory Sandbox, Cohort 2, supports the safe introduction of innovative financial solutions by letting participants run live tests under CBN oversight. It reflects the Bank's aims of encouraging innovation, promoting financial inclusion and strengthening consumer protection.
Cohort 2 has two tracks. The VASP Track covers virtual asset and stablecoin financial services, supporting digital assets that are fiat backed or that have a payment, settlement or store-of-value function. Products must support responsible innovation consistent with the Bank's mandate of monetary sovereignty and financial system stability. The Non-VASP Track covers data-enabled financial services, focusing on innovations that use secure, permission-based data sharing and digital infrastructure to improve access, efficiency, risk management and consumer outcomes within Nigeria's financial system. It emphasizes financial inclusion, alternative data-driven credit assessment, lower onboarding, transaction or compliance costs, and greater trust, transparency and consumer control over financial data.
What you get
Innovators gain regulatory engagement from the outset, a supervised testing environment, less uncertainty and regulatory risk, improved credibility and trust, better readiness for commercialisation, a clearer understanding of compliance obligations and a chance to demonstrate innovation at scale. The wider ecosystem benefits from greater financial inclusion, safer adoption of emerging technologies, evidence-based policy, improved market integrity, stronger consumer confidence and more resilient financial infrastructure.
Who can apply
The sandbox is open to CBN-licensed institutions, institutions licensed by other Nigerian financial regulators where the innovation falls within the sandbox scope, and institutions licensed by recognised regulators outside Nigeria whose innovation can be adapted to the Nigerian market. Virtual Asset Service Providers, including those working in stablecoin issuance, virtual asset payments, exchange, custody and related infrastructure, may apply. So may startups and technology companies without financial licences, provided the solution is innovative and developed enough for controlled live testing.
Requirements
All applicants must show that the solution is ready for live testing in a controlled environment, that inherent risks have been assessed and mitigated under sandbox guidelines, and that effective AML/CFT/CPF controls and consumer safeguards are in place. They must also be technically able to meet reporting and incident-notification requirements during the sandbox period.
How to apply
Applicants complete the online form and upload all required documentation, including corporate approvals, governance information, product details and any mandatory annexures.