Manny Ita –
Nigeria’s Securities and Exchange Commission (SEC) has issued a fresh warning to the public over the increasing spread of fraudulent online investment schemes being promoted through social media platforms such as WhatsApp, TikTok, Instagram, Facebook, and Telegram.
In a public notice released on May 8, 2026, the Commission stated that many of these digital investment platforms are operating illegally and are not registered to provide financial or investment services in Nigeria’s capital market. According to the SEC, several of the schemes promise unrealistic or guaranteed profits and display characteristics commonly associated with Ponzi operations.
The regulator explained that some of the operators behind these platforms also offer unauthorized investment advisory services, exposing unsuspecting Nigerians to serious financial risks and possible fraud. The Commission urged citizens to avoid any investment opportunity that guarantees unusually high returns or pressures people to invest quickly without proper verification.
SEC stressed that only companies and individuals officially registered with the Commission are legally permitted to solicit funds, promote investment products, or provide financial advisory services in Nigeria. Nigerians were advised to verify the registration status of investment firms through the SEC’s official databases before committing their money.
The warning comes amid intensified regulatory actions against suspected illegal investment operators across the country. Over the past year, the Commission has flagged several firms accused of running unauthorized investment activities.
Among them was Glorious Wealth Fund (GWF), which allegedly promoted investment opportunities linked to Nigerian stocks and financial instruments despite lacking SEC approval. The Commission also previously warned against “Shalom Coin (SHLM),” a digital token marketed online with speculative claims of massive returns without regulatory clearance.
SEC further recalled its earlier warning concerning Silverkuun Investment Cooperative Society, which it said was falsely operating as an investment adviser and fund manager despite not being licensed to operate within Nigeria’s capital market.
The Commission maintained that increasing public awareness and proper due diligence are critical in protecting Nigerians from financial scams and online investment fraud. It reiterated its commitment to safeguarding investors and cracking down on illegal operators exploiting social media platforms to deceive the public.
