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As Africa’s financial landscape rapidly evolves, a new chapter is emerging—one driven by the convergence of blockchain technology, digital payments, and regulatory innovation. According to Obi Emetarom, CEO of Nigerian fintech pioneer Zone, the future of financial services will be anchored in regulated blockchain infrastructure—a transformative shift that enhances compliance management, promotes financial transparency, and strengthens digital trust.
In a significant shift in public discourse, Nigeria’s Information Minister, Mohammed Idris, recently signaled a pro-blockchain stance in a March 2025 article published on Cointelegraph. “Nigeria sees blockchain technology as more than just crypto trading,” he wrote. “Blockchain can be a powerful governance, transparency, and service delivery tool.” Idris emphasized the potential of blockchain in enhancing public sector efficiency—from land registries to identity management and supply chain integrity.
From Cautious Optimism to Strategic Integration
Although Nigeria previously maintained a restrictive position on cryptocurrency, the distinction between crypto assets and blockchain infrastructure is now guiding a more pragmatic approach. The launch of the eNaira in 2021—Africa’s first Central Bank Digital Currency (CBDC)—marked the country’s initial foray into digital currency. While adoption lagged, it laid the groundwork for deeper blockchain integration.
The National Blockchain Policy, approved in 2023, further highlighted Nigeria’s intent to embed blockchain across sectors. Through the National Information Technology Development Agency (NITDA), the government has also begun investing in compliance training and emerging tech upskilling, reflecting a clear interest in building regulatory frameworks around blockchain.
However, the real test lies ahead: successfully integrating blockchain into Nigeria’s mainstream financial payments ecosystem—while ensuring regulatory oversight, risk mitigation, and compliance automation.
The Promise of Regulated Blockchain in Financial Services
Unlike public blockchains, regulated (or permissioned) blockchains operate with access control mechanisms, allowing only verified participants to interact within the network. These systems are increasingly favored by financial institutions, regulators, and governments seeking to balance innovation with regulatory risk management.
Globally, regulated blockchain frameworks have already been adopted in the European Union, Singapore, and the UAE for secure transaction settlements, land and health record registries, and digital identity management. These applications demonstrate how compliance analytics, internal controls, and regulatory enforcement can coexist with digital innovation.
In Nigeria, local fintech leaders are urging regulators and other financial institutions (OFIs) to leverage regulated blockchain rails to achieve faster settlements, eliminate failures in transaction processing, and foster transparency in compliance workflows.
Zone: Powering Blockchain-Driven Payment Infrastructure
At the forefront of this transformation is Zone, a Nigerian firm redefining payment infrastructure with RegTech solutions grounded in blockchain. Since 2022, Zone has pioneered use cases at Point-of-Sale (POS) terminals and ATMs, proving that blockchain-powered financial services are not only possible—but scalable.
In 2024, Zone’s transaction volume hit ₦1 trillion (approx. $636 million), signaling robust demand for its technology among Nigeria’s traditional banking institutions. The company’s systems reflect a paradigm shift—moving from siloed, legacy platforms to unified, compliance-driven ecosystems that prioritize regulatory intelligence and secure, real-time settlements.
On March 26, Zone released a white paper outlining its vision for regulated blockchain’s role in transforming financial services across Africa. In an interview with TechCabal, CEO Obi Emetarom explained why this moment is pivotal.
Obi Emetarom: “This is the Natural Evolution of Financial Systems”
For Emetarom, the push for regulated blockchain isn’t solely about national strategy—it’s about aligning with a global trend. “We don’t see regulated blockchain as something Nigeria uniquely needs. It’s a universal solution,” he said.
He described regulated blockchain as a logical progression in the evolution of financial systems—from barter and fiat to today’s digitally automated frameworks. With the convergence of blockchain and Artificial Intelligence, Emetarom believes the technology stack required to reimagine financial services is now within reach.
“These technologies have matured. Blockchain offers trusted infrastructure. AI enhances efficiency and decision-making. Together, they set the stage for a new era of compliance, automation, and innovation,” he noted.
The Road Ahead: Building Trust, Efficiency, and Regulatory Resilience
As Nigeria moves toward a more open embrace of blockchain, the emphasis must remain on building a regulatory compliance framework that fosters innovation while safeguarding consumers. Stakeholders must:
- Adopt Regulatory Technology (RegTech) to monitor, assess, and report in real time.
- Establish compliance monitoring tools and AML software to prevent financial crime.
- Train personnel in compliance risk assessment and regulatory policy implementation.
- Encourage collaborative engagement between regulators, banks, and technology providers.
Zone’s work offers a blueprint—not just for Nigeria, but for the entire African continent. It showcases how compliance as a service and regulated blockchain ecosystems can elevate Africa’s financial infrastructure, enabling institutions to leapfrog traditional bottlenecks and deliver secure, inclusive, and future-ready services.
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