December Regulatory Roundup 2025

REGCOMPASS DECEMBER REGULATORY ROUNDUP 2025

Welcome to the December regulatory round up.

We provide you with the latest regulatory news and insights across Nigeria, Africa and beyond.

Let’s dive into a thoughtful and comprehensive update on recent developments. 

IN THIS EDITION

News In Nigeria

1. CBN Introduces Weekly Withdrawal Caps of ₦500,000 (ATMs) and ₦5 million (banks)
2. CAC Mandates Registration and Enforcement Against Unregistered PoS Operators
3. EFCC Arraigns Bill Interserve Global over compliance failures
4. CBN Releases Exposure Draft Guidelines for Handling APP Fraud
5. CBN Sets Deadline for Dual PoS Routing to Boost System Reliability
6. FIRS Declares NIN as Automatic Tax ID Under New Tax Regime
7. SEC Sets January 2026 Registration Renewal Window for Capital Market Operators
8. CBN Accelerates E‑Payment to Strengthen Cybersecurity & Stability
9. CBN Revokes Licences of Two Mortgage Banks Over Mismanagement

Across Africa

1. Verve Reaches 100 Million Cards Issued Across Africa
2. Wise Secures First Regulatory Licence in Africa via SARB Conditional Approval
3. Kenya Sets Stricter Conditions on Vodacom & Safaricom
4. Zimbabwe Introduces 15% Digital Services Withholding Tax

Across the world

1. UK FCA Launches Firm Checker to Strengthen Fraud Protection
2. EU Ministers Call for Simpler Financial Rules
3. US Senators Propose Federal Task Force to Tackle Crypto Scams
4. Ransomware Breach Hits US Fintech and Dozens of Banks
5. Bank of England Seeks Input on Future Digital Pound Design

Crypto Scoop

1. SEC Reports Crypto Scam Costing Retail Investors $14M
2. US SEC Pauses Binance Lawsuit as Crypto Framework Develops
3. US Lawmakers Propose Tax Update for Stablecoins

Deals and Raises

1. Safaricom Raises $154M in Oversubscribed Bond Sale
2. Rwanda’s Fintech Kayko Raises $1.2M in Seed Funding
3. On Me Raises $6M to Innovate Gift Card Payments
4. Ezeebit Secures $2M to Scale Stablecoin in Africa

Mergers and Acquisitions

1. Belgium’s itsme Acquires Dutch Digital ID Platform iDIN
2. Mollie Acquires GoCardless in $1.1B Deal
3. Monzo Acquires Habito to Expand Mortgage Service
4. PNC Gets Regulatory Green Light to Complete FirstBank Acquisition
5. Enova to Acquire Grasshopper for Digital Banking Infrastructure

CBN Introduces Weekly Withdrawal Caps of ₦500,000 (ATMs) and ₦5 million (banks)

The CBN’s new weekly withdrawal limits show a clear push to reduce cash usage and promote digital payments, which create a useful trail and oversight. While the benefits are clear, many unbanked or cash-prefering customers may struggle to adapt. How banks manage this shift will determine whether the policy nudges adoption or simply frustrates everyday users.

CAC Mandates Registration and Enforcement Against Unregistered PoS Operators

The CAC’s push for all PoS operators to register by January 2026 is a clear step toward stronger oversight. It should help curb fraud and make the system more accountable, but many small or informal operators may struggle to keep up. Financial institutions will need to get their onboarding and registration right to avoid disruptions.

EFCC Arraigns Bill Interserve Global over compliance failures

The EFCC’s case against Bill Interserve Global shows regulators are taking even basic compliance failures seriously. Missing a management-level compliance officer or an internal audit function might seem minor, but to regulators, these gaps now carry real consequences. DNFBPs will also need to tighten governance or risk facing similar enforcement.

CBN Releases Exposure Draft Guidelines for Handling APP Fraud
The CBN’s draft guidelines on APP fraud highlight the need for a more coordinated approach to digital scams. Financial institutions and other Financial institutions will now share responsibility for preventing, investigating, and reimbursing cases, especially when multiple platforms are involved. As digital payments grow, how institutions implement these rules will shape both customer protection and the design of fraud controls in 2026.

CBN Sets Deadline for Dual PoS Routing to Boost System Reliability

Frequent outages in PoS transactions have long frustrated customers and disrupted payments. To fix this, the CBN has ordered banks, fintechs, and payment providers to implement dual routing through NIBSS and UPSL within 30 days, with mandatory reporting of outages and root causes. Beyond the tech work, this is now a regulatory expectation, raising the bar on uptime, reporting discipline, and exposing slow adopters to potential scrutiny.

FIRS Declares NIN as Automatic Tax ID Under New Tax Regime

Starting January 2026, individuals’ NIN will automatically serve as their TIN, while businesses will use their CAC number. This change cuts duplicate registrations and strengthens compliance under the Nigeria Tax Administration Act. For financial institutions and other regulated entities, it means updating onboarding and KYC processes, while also helping customers navigate the new system, a step that simplifies reporting and closes gaps for tax evasion.

SEC Sets January 2026 Registration Renewal Window for Capital Market Operators

SEC has directed all Capital Market Operators to renew their registration between January 1 – 31, 2026, with non-compliance potentially barring market participation. Electronic processing reflects the regulator’s push for digitised oversight and accurate operator data. Preparing documentation and receipts in advance will help firms avoid disruption and stay on the right side of ongoing compliance expectations.

CBN Accelerates E‑Payment to Strengthen Cybersecurity & Stability

The CBN’s Payments System Vision 2028 is pushing to modernise e-payment infrastructure and improve cybersecurity. Measures like better switching, contactless payments, and tighter agent-banking rules aim to make payments safer and more reliable. For financial institutions, the expectation is clear: strong risk controls and operational discipline are now part of basic compliance.

CBN Revokes Licences of Two Mortgage Banks Over Mismanagement

The CBN has revoked the licences of Aso Savings and Loans and Union Homes Savings and Loans due to ongoing financial mismanagement and repeated regulatory breaches. Customers will need to liaise with the NDIC to secure their assets. The action makes it clear that capital adequacy and strong governance are non‑negotiable, with weak controls now attracting immediate regulatory consequences.

Zimbabwe Introduces 15% Digital Services Withholding Tax

Zimbabwe has introduced a 15% Digital Services Withholding Tax on payments to offshore platforms like Bolt, inDrive, and Starlink. Financial institutions will collect the levy at the point of payment. For platforms and payment providers, this could affect pricing, localisation, and compliance, highlighting a trend toward stricter digital tax oversight across African markets.

Verve Reaches 100 Million Cards Issued Across Afric

Africa’s financial technology landscape is rapidly evolving, with Verve International issuing over 100 million cards across the continent. This milestone shows how domestic payment rails are gaining traction and digital transactions are becoming mainstream. This highlights the need to invest in secure, scalable infrastructure to support deeper financial inclusion and a more mature payments ecosystem.

Wise Secures First Regulatory Licence in Africa via SARB Conditional Approval

Wise has won conditional approval from the South African Reserve Bank to operate as a licensed cross‑border payments provider, marking its first regulated presence in Africa. The development shows growing expectations for licensing, compliance, and customer protection across African markets. For fintechs and banks, it highlights the need for solid compliance frameworks as cross-border payments continue to expand.

Kenya Sets Stricter Conditions on Vodacom & Safaricom

Kenya is making it clear that local governance and national interests matter in major deals, as seen in the conditions on Vodacom’s Safaricom acquisition. Requiring Kenyan CEOs and board chairs, and approval for brand changes, aims to protect the workforce and ensure oversight. The move signals to investors and operators that telecom-fintech convergence will face closer scrutiny and stronger governance expectations.

UK FCA Launches Firm Checker to Strengthen Fraud Protection

Fake investment platforms and impersonation scams are on the rise, leading the FCA to introduce Firm Checker so consumers can confirm whether a financial firm is properly authorised. For firms, the tool reinforces the need for clear licensing and accurate disclosures. Misleading branding or unclear status now carries real regulatory and reputational risk, making verification a key expectation for fintechs.

EU Ministers Call for Simpler Financial Rules

Overly complex and burdensome financial services rules are weighing on firms, particularly SMEs, in the EU. In response, finance ministers are urging the Commission to simplify regulations, enhance supervisory accountability, and align rules with global standards. For global financial institutions, this signals a shift toward efficiency-focused regulation that could shape compliance expectations across Europe.

US Senators Propose Federal Task Force to Tackle Crypto Scams

Rising crypto scams and fraud have caught regulators’ attention, prompting a US Senate bill to propose a federal task force to coordinate action. It would bring together law enforcement and financial regulators, track trends, and publish findings to guide policy. Digital asset firms and financial institutions should see this as a sign that stronger controls and proactive fraud prevention will be increasingly expected.

Ransomware Breach Hits US Fintech and Dozens of Banks

A ransomware attack on a data firm Marquis exposed sensitive information from dozens of US banks and credit unions, showing just how persistent cybersecurity risks remain. The incident highlights that vulnerabilities at third-party vendors can directly affect customer trust and data integrity. This underscores the need for strong controls, vigilant vendor management, and ready incident response plans.

Bank of England Seeks Input on Future Digital Pound Design

The Bank of England has invited businesses and stakeholders to help shape the design of a potential UK digital pound, signaling proactive engagement on the future of central bank digital currencies. The Bank of England is asking businesses and stakeholders to help shape a potential UK digital pound, reflecting early steps on the future of a central bank digital currency (CBDC). Contributions will influence policy, technology, and practical use cases as the UK explores a secure retail CBDC. The process shows that preparing for new rules on privacy, interoperability, and compliance is becoming essential.

SEC Reports Crypto Scam Costing Retail Investors $14M

A crypto scheme recently defrauded retail investors of $14 million, showing that fraud remains a serious risk in the sector. The SEC’s action makes clear that misleading platforms and false investment claims will face stronger enforcement. The case highlights that credibility now depends on clear disclosures, proper custody, and investor protection, while users need to be cautious of high-return promises and unverified operators.

US SEC Pauses Binance Lawsuit as Crypto Framework Develops

Binance faces ongoing scrutiny as the SEC’s lawsuit underscores persistent compliance risks in the U.S. crypto market. The SEC has agreed to pause action for 60 days while a clearer regulatory framework is developed. The pause does not erase past issues, but it gives exchanges an opportunity to tighten governance and prepare for formalised rules.

US Lawmakers Propose Tax Update for Stablecoins

Uncertainty over taxes on stablecoins and digital assets has made compliance difficult for users and businesses. U.S. lawmakers have proposed updates to the tax code, including safe harbors for small payments and clearer treatment of capital gains, staking, and mining rewards. The move shows increasing legislative attention on practical tax rules and gives firms time to prepare for simpler compliance and reporting.

1. Safaricom Raises $154M in Oversubscribed Bond Sale
2. Rwanda’s Fintech Kayko Raises $1.2M in Seed Funding
3. On Me Raises $6M to Innovate Gift Card Payments
4. Ezeebit Secures $2M to Scale Stablecoin in Africa

1. Belgium’s itsme Acquires Dutch Digital ID Platform iDIN
2. Mollie Acquires GoCardless in $1.1B Deal
3. Monzo Acquires Habito to Expand Mortgage Service
4. PNC Gets Regulatory Green Light to Complete FirstBank Acquisition
5. Enova to Acquire Grasshopper for Digital Banking Infrastructure

We hope you found our December Regulatory Roundup 2025 helpful and informative. If you have questions or insights about the regulatory landscape in your region? Reach out to us on any of our social media handles, email and we would be available to help. Also share your thoughts in the comments below and let’s continue the conversation!

For a deep dive into past regulatory changes, catch up on our November Regulatory Roundup  and explore our complete Regulatory Roundup Archive for more material

Please note that the information provided in this article does not constitute legal advice and should not be construed as such. For legal advice specific to your situation, please consult a legal practitioner.