The Securities and Exchange Commission has issued a fresh advisory warning Nigerians about the proliferation of unregistered and fraudulent investment schemes currently trending on social media.
In a public notice released on May 14, 2026, the regulator cautioned that many platforms promising high or guaranteed returns on WhatsApp, TikTok, Instagram, and Telegram are operating as illegal Ponzi schemes.
The Commission highlighted that these operators are neither registered nor authorized to provide investment services within the Nigerian capital market. Promoting unrealistic financial gains, these digital platforms often lure unsuspecting victims into traps that lead to substantial financial losses.
The SEC stressed that only entities specifically licensed by the Commission are legally permitted to offer investment advice or manage funds.
Reflecting on recent enforcement actions, the SEC pointed to previous red flags raised against entities such as Glorious Wealth Fund and digital tokens like Shalom Coin, which were marketed with speculative and unverified claims.