The Economic and Financial Crimes Commission (EFCC) has sounded the alarm over the increasing prevalence of scams linked to cryptocurrency in Nigeria, stressing the urgent need for tighter oversight. The warning came during a meeting held on September 3, 2025, involving key players from the Blockchain Technology Association of Nigeria (SIBAN).
The EFCC Chairman, Mr. Ola Olukoyede, addressed stakeholders at the agency’s headquarters in Abuja. He painted a picture of the current landscape, noting the blurred boundaries between legitimate digital currency traders and fraudulent actors. He stressed that the cryptocurrency space is booming, but without clear rules, and that sincere participants risk falling prey.
During the meeting, Olukoyede’s Chief of Staff, Commander Michael Nzekwe, referred to digital currencies as “the new oil well”. However, this wealth attracts both innovation and deceit. The EFCC shared findings from recent sting operations, which led to the apprehension of nearly 800 individuals in Lagos alone, many involved in elaborate crypto scams and romance fraud schemes. Notably, the crackdown included close to 200 foreign suspects.
The dialogue emphasized the importance of developing a regulatory framework to safeguard investors and prevent illicit activities such as money laundering and financing terrorism. Nigeria’s large and tech-savvy youth population is especially vulnerable without proper protections in place.
SIBAN’s President, Obinna Iwuno, presented a newly drafted code of ethics designed to guide practitioners within the Nigerian crypto space.
Besides advocating regulation, SIBAN actively promotes investor education and robust know-your-customer (KYC) processes. All registered digital asset firms are required to maintain at least two compliance officers, in order to eliminate bad actors from the sector.
Iwuno also called for enhanced collaboration with the EFCC, stating that the commission intends to act as the first line of defence where people can report suspicious activities at any point in time. Such partnerships could bolster anti-fraud campaigns and improve how blockchain technology supports investigative efforts.
The partnership with governmental bodies and industry leaders serve as an avenue for fighting crypto-related crime, promote ethical practices, and build investor confidence across Nigeria.
