The Economic and Financial Crimes Commission has warned that illicit financial activity tied to cryptocurrencies expanded sharply in 2025, with global losses reaching an estimated $160 billion. The disclosure reflects growing concern among regulators that digital assets are becoming a major channel for cross-border financial crime.
The EFCC Chairman, Ola Olukoyede, presented the figure during the launch of a new programme by the United Nations Office on Drugs and Crime aimed at strengthening Nigeria’s response to financial and organised crime. He said the scale of losses highlights the urgency of coordinated enforcement and stronger institutional frameworks.
According to him, “Last year, the world lost over 160 billion dollars to illicit transactions in cryptocurrencies.” This estimate captures a wide range of illegal activities, including fraud, money laundering, and cyber-enabled financial crimes, many of which exploit the speed and anonymity of digital transactions.
The EFCC argues that criminal networks are adapting quickly to technological change. Cryptocurrencies, while legitimate financial tools, are increasingly used to move funds across borders with limited oversight. These systems often bypass traditional banking controls, creating gaps that can be exploited by organised groups.
Olukoyede stressed that the response must go beyond isolated enforcement. “Tackling these challenges requires coordinated national responses, strong institutions and sustained intelligence-driven strategies,” he said. His remarks point to a broader policy shift that prioritises data sharing, inter-agency cooperation, and advanced tracking tools.
The new UN-backed programme is designed to strengthen legal systems, improve investigative capacity, and reduce illicit financial flows. It also seeks to address related threats such as cybercrime, corruption, and transnational organised crime. The EFCC views the initiative as a platform for aligning Nigeria’s enforcement strategy with global standards.
The warning comes amid evidence that Nigeria remains a major hub for crypto activity. High transaction volumes, combined with uneven regulatory enforcement, have created vulnerabilities within the financial system. Previous investigations by the commission have linked weak compliance controls in some financial institutions to large-scale crypto-related fraud.
Beyond enforcement, the EFCC emphasised the economic cost of inaction. Illicit financial flows drain public resources, weaken institutions, and distort markets. They also undermine trust in emerging financial technologies, which could otherwise support innovation and inclusion.
Olukoyede concluded that sustained intervention is essential. “The imperative of sustained action to turn the tide cannot be overstated,” he said. The statement reflects a firm position that regulatory systems must evolve at the same pace as financial technology.
In effect, the EFCC’s assessment reinforces a clear trend: as digital finance expands, so do the risks. Without stronger controls, global losses linked to crypto-related crime could continue to rise, placing further pressure on governments and financial institutions to respond decisively.
