In the wake of the collapse of CBEX, a crypto trading platform that left many Nigerian users locked out of their funds, the Securities and Exchange Commission (SEC) has issued a stark warning to celebrities and social media influencers: stop endorsing unregistered digital asset platforms and meme coins.
The caution comes after angry investors stormed and looted the Ibadan office of Smart Treasure (ST Team), a branch of CBEX, following the platform’s abrupt shutdown. The incident underscores growing fears over the spread of unregulated digital schemes in Nigeria’s fast-evolving fintech landscape.
Dr. Emomotimi Agama, Director-General of the SEC, addressed the issue publicly, citing new powers granted to the Commission under the Investments and Securities Act (ISA) 2025, recently signed into law by President Bola Tinubu.
“The Act lays down clear regulatory guidelines for digital asset operations, including mandatory registration,” Agama said. “This enables the SEC to identify and act against ponzi schemes, pump-and-dump tokens, and illegal exchanges that prey on unsuspecting investors.”
He emphasized that public figures and influencers must be held accountable for promoting unregulated crypto products.
“It is important that even celebrities exercise caution. Becoming influencers or promoting meme coins that don’t serve the public interest will not be tolerated,” he warned. “If it is not registered, it is illegal. The law will be enforced.”
The new ISA 2025 aims to balance innovation and investor protection by fostering a secure environment for fintech growth—while closing loopholes that have allowed bad actors to operate unchecked.
As Nigeria’s digital economy grows, regulatory scrutiny is expected to intensify, with the SEC positioning itself as a frontline enforcer of ethical and legal conduct in the crypto space.
