Caveat Emptor:SEC warns Nigerians against rising ponzi schemes on WhatsApp, TikTok, Instagram -

#1 · May 14, 2026, 3:11 pm

Quote from KayodeK on May 14, 2026, 3:11 pm

The Securities and Exchange Commission (SEC) has warned Nigerians against investing in unregistered online investment schemes promoted across social media platforms, cautioning that many of them operate like Ponzi schemes.

The warning was contained in a public notice dated May 8, 2026, and shared on the Commission’s official X handle.

According to the SEC, several of the platforms promising guaranteed or unrealistic returns are neither registered nor authorised to operate within Nigeria’s capital market.

What SEC is saying

The Commission said the schemes are aggressively promoted on platforms such as WhatsApp, Instagram, TikTok, Telegram, Facebook, and other digital channels.

“The attention of the Securities and Exchange Commission has been drawn to the increasing promotion of unregistered online investment schemes on social media applications and websites, including WhatsApp, Instagram, Telegram, Facebook, TikTok and other digital platforms,” the SEC stated.

“Many of these investment schemes exhibit characteristics of Ponzi or prohibited investment schemes, while some operators of such schemes also provide unauthorized investment services to members of the public.”

The Commission urged Nigerians to avoid platforms offering unrealistic or guaranteed returns, warning that such investments could expose the public to fraud and heavy financial losses.

SEC advised investors to avoid participating in unregistered online investment schemes.

The Commission also warned Nigerians against relying on investment advice from unlicensed individuals or entities.

It stressed that only SEC-registered operators are authorised to provide investment and advisory services in Nigeria.

The regulator added that investors should verify the registration status of any company or platform before committing funds.

Get up to speed

The latest warning comes amid increasing regulatory action by the SEC against suspected fraudulent investment operators across Nigeria.

Last year, the Commission issued multiple alerts concerning suspected illegal investment schemes operating in the country.

One of the firms flagged was Glorious Wealth Fund (GWF), which the SEC described as an illegal and potentially fraudulent operation.

The Commission stated that GWF, which operated through the website gloriouswealthfund.com, was not registered to offer capital market services in Nigeria despite advertising investment opportunities linked to Nigerian stocks and financial instruments.

Before then, the SEC also warned Nigerians against dealing in “Shalom Coin (SHLM),” a digital token promoted online as a meme coin and investment opportunity.

According to the regulator, preliminary findings showed the token was being marketed with speculative claims of potential returns, despite lacking regulatory approval.

More insights

The SEC reminded the public that the Investments and Securities Act (ISA) 2025 permits only registered entities to solicit funds, promote investment products, or provide investment advisory services in Nigeria’s capital market.

Investors were advised to verify investment platforms through SEC’s official portals before transacting.

The Commission said verification could be done through its fintech and capital market operator databases.

SEC reiterated its commitment to investor protection and tackling fraudulent investment activities.

The regulator maintained that increased awareness and due diligence remain critical to protecting Nigerians from financial scams.

What you should know

Last year, SEC issued a stern warning to the public regarding unregistered investment schemes, specifically highlighting Silverkuun Investment Cooperative Society as an entity falsely operating as an investment adviser and fund manager.

According to their website, Silverkuun Investment Cooperative Society primarily focuses on providing financial solutions to individuals, businesses, and organizations, including loans and investment opportunities.

They claim to offer a range of services like fixed savings, personal and business loans, and investment options with high returns.

In a circular, the Commission emphasized that Silverkuun Investment Cooperative Society/Silverkuun Limited is not registered to operate within Nigeria’s capital market, making any transactions with the company a potential financial risk.

https://nairametrics.com/2026/05/14/sec-warns-nigerians-against-rising-ponzi-schemes-on-whatsapp-tiktok-instagram/

The Securities and Exchange Commission (SEC) has warned Nigerians against investing in unregistered online investment schemes promoted across social media platforms, cautioning that many of them operate like Ponzi schemes.

The warning was contained in a public notice dated May 8, 2026, and shared on the Commission’s official X handle.

According to the SEC, several of the platforms promising guaranteed or unrealistic returns are neither registered nor authorised to operate within Nigeria’s capital market.

What SEC is saying

The Commission said the schemes are aggressively promoted on platforms such as WhatsApp, Instagram, TikTok, Telegram, Facebook, and other digital channels.

“The attention of the Securities and Exchange Commission has been drawn to the increasing promotion of unregistered online investment schemes on social media applications and websites, including WhatsApp, Instagram, Telegram, Facebook, TikTok and other digital platforms,” the SEC stated.
“Many of these investment schemes exhibit characteristics of Ponzi or prohibited investment schemes, while some operators of such schemes also provide unauthorized investment services to members of the public.”

The Commission urged Nigerians to avoid platforms offering unrealistic or guaranteed returns, warning that such investments could expose the public to fraud and heavy financial losses.

SEC advised investors to avoid participating in unregistered online investment schemes.

The Commission also warned Nigerians against relying on investment advice from unlicensed individuals or entities.

It stressed that only SEC-registered operators are authorised to provide investment and advisory services in Nigeria.

The regulator added that investors should verify the registration status of any company or platform before committing funds.

Get up to speed

The latest warning comes amid increasing regulatory action by the SEC against suspected fraudulent investment operators across Nigeria.

Last year, the Commission issued multiple alerts concerning suspected illegal investment schemes operating in the country.

One of the firms flagged was Glorious Wealth Fund (GWF), which the SEC described as an illegal and potentially fraudulent operation.

The Commission stated that GWF, which operated through the website gloriouswealthfund.com, was not registered to offer capital market services in Nigeria despite advertising investment opportunities linked to Nigerian stocks and financial instruments.

Before then, the SEC also warned Nigerians against dealing in “Shalom Coin (SHLM),” a digital token promoted online as a meme coin and investment opportunity.

According to the regulator, preliminary findings showed the token was being marketed with speculative claims of potential returns, despite lacking regulatory approval.

More insights

The SEC reminded the public that the Investments and Securities Act (ISA) 2025 permits only registered entities to solicit funds, promote investment products, or provide investment advisory services in Nigeria’s capital market.

Investors were advised to verify investment platforms through SEC’s official portals before transacting.
The Commission said verification could be done through its fintech and capital market operator databases.
SEC reiterated its commitment to investor protection and tackling fraudulent investment activities.

The regulator maintained that increased awareness and due diligence remain critical to protecting Nigerians from financial scams.

What you should know

Last year, SEC issued a stern warning to the public regarding unregistered investment schemes, specifically highlighting Silverkuun Investment Cooperative Society as an entity falsely operating as an investment adviser and fund manager.

According to their website, Silverkuun Investment Cooperative Society primarily focuses on providing financial solutions to individuals, businesses, and organizations, including loans and investment opportunities.

They claim to offer a range of services like fixed savings, personal and business loans, and investment options with high returns.

In a circular, the Commission emphasized that Silverkuun Investment Cooperative Society/Silverkuun Limited is not registered to operate within Nigeria’s capital market, making any transactions with the company a potential financial risk.

https://nairametrics.com/2026/05/14/sec-warns-nigerians-against-rising-ponzi-schemes-on-whatsapp-tiktok-instagram/

#2 · May 14, 2026, 5:01 pm

The warning is good, but we need the names of the owners. Let us know the faces behind these ‘funds’ so we can avoid them even if they change their company name tomorrow.

#3 · May 14, 2026, 5:17 pm

Only SEC-registered operators! If they can’t show you their license, show them the door. Don’t let ‘speculative claims’ cloud your judgment. Slow and steady wins the race.

#4 · May 14, 2026, 5:26 pm

Telegram is the most dangerous. You will just be added to a group with 5,000 people ‘testifying’ how they received alerts. 4,990 of those people are bots! Don’t let the ‘crowd’ deceive you.

#5 · May 14, 2026, 5:40 pm

What about the ‘Cooperative Societies’ that are acting like banks? Silverkuun was just one. There are many in our markets and motor parks. Government needs to regulate the ‘Cooperative’ tag strictly.

#6 · May 14, 2026, 6:02 pm

Verify before you commit. It takes 5 minutes to check, but it takes 5 years to earn back the money you lost. Do the math. Don’t be a victim of ‘Hurry-Hurry’ investment.

#7 · May 14, 2026, 6:16 pm

Verification is key. If you can’t find their office and their SEC registration number, don’t even send one kobo. ‘Online only’ investment is often ‘Goodbye only’ money.

#8 · May 14, 2026, 7:04 pm

Speculative claims of potential returns… that’s the dictionary definition of Shalom Coin. Meme coins are fun until the ‘rug’ is pulled and you are left standing on the floor.

#9 · May 14, 2026, 7:07 pm

What happened to the owners of GWF? Are they in jail or have they started another one called ‘Excellent Wealth’? We need the ‘remanded’ news like the one in the US case.

#10 · May 14, 2026, 7:15 pm

TikTok ‘Wealth Coaches’ are the funniest. They use a rented car and a green screen to tell you how to be a millionaire. If they were that rich, they wouldn’t be begging for ‘likes’.