SEC Nigeria partners Chainalysis to tackle crypto fraud with blockchain intelligence

The Securities and Exchange Commission (SEC) has reaffirmed its resolve to deploy blockchain intelligence in the fight against cryptocurrency-related fraud, as part of a broader effort to strengthen oversight of Nigeria’s rapidly evolving digital asset ecosystem.

Speaking at a joint webinar hosted by SEC Nigeria and global blockchain analytics firm Chainalysis on Monday, SEC Director-General Dr. Emomotimi Agama said transparency in crypto transactions must become the bedrock of regulatory enforcement.

The event, themed “Combating Scams with Blockchain Intelligence,” brought together regulators, analysts, and industry stakeholders to address the growing sophistication of digital financial crimes.

“When you imagine the future of cryptocurrency transactions, you imagine that if fraudulent practices are already climbing the way they are now, what will the future hold if we all sit doing nothing?” Agama asked.

“If we all remain uncoordinated and fail to collaborate, we risk enabling a dangerous future.”

Agama outlined the SEC’s plan to enhance its technical capabilities, leveraging blockchain’s immutable record-keeping to trace illicit activity. He stressed the need to identify wallet clusters, track fund flows, and analyse blockchain transaction histories across major networks like Bitcoin and Ethereum.

“At the SEC, we need to do deep dives into data intelligence,” he said. “Every Bitcoin or Ethereum transaction is permanently recorded, and through analysis, we can identify wallets belonging to the same entity.”

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The urgency of the SEC’s push is reinforced by the Chainalysis 2025 Crypto Crime Report, which found that illicit crypto addresses received $178 billion globally over the past five years. The peak year was 2022 ($54.3 billion), followed by 2023 ($46.1 billion) and 2024 ($40.9 billion).

Agama hailed the Investment and Securities Act (ISA) 2025, which came into effect in April, as a landmark reform providing long-awaited legal clarity for Nigeria’s digital asset market.

“Clearly, we believe the emergence of the ISA 2025 is a groundbreaker,” Agama said. “It ensures we can cooperate nationally and internationally while ensuring we do not stifle innovation.”

Agama urged regulators, technology providers, and industry players to work together to prevent fraud before it escalates.

“With all the various tools at our disposal, we must brace up for the challenges ahead,” he concluded. “Our collective goal should be to stop these crimes at the source.”

Nigeria’s collaboration with Chainalysis signals a proactive step toward safeguarding investors, enhancing market integrity, and positioning the country as a regional leader in regulated digital finance.