Nigerian EFCC advises citizens to steer clear from investments that seem too good to be true.
With the steady growth rate of Forex and Crypto involvement among most Nigerians, bodies like the CBN have diminished these numbers. These two concepts are among some of the most lucrative ways Nigerians are making money. Therefore, they are creating independence from the Nigerian government, thereby crippling avenue generation. Because of this, governmental structures have been trying to deter citizens from some digital advancements.
Major Updates
- EFCC tags crypto and Forex as high-risk and fraudulent.
- EFCC advises CSOs and NGOs to enhance money laundering monitoring.
- Transactions over $10,000 and donations over $1000 require monitoring.
As cryptocurrencies and other digital forms of new money advancements have grown to an all-time high in Nigeria, governmental bodies have tried to regulate and control involvements. This has mostly constituted various regulatory hurdles.
First was the CBN Ban on the trading of
cryptocurrencies which were placed earlier in February.
Following this was the attack on Fintech bodies. This blocked Fintechs again accessing the Nigerian Bank Verification Number for validation of customers’ accounts.
The EFCC is the latest body to provide anti-crypto claims. They have placed warnings on the involvement of Nigerians in investment programs like Bitcoin and Forex trading. This is similar to the crypto ban; it started with a warning and was followed by a sudden ban.
The EFCC further explained that monetary investments like that of Bitcoin were highly prone to cybercrime and were of high risk due to the lack of regulatory backing to support it.
They backed up their warnings by stating that they were fighting against “Ponzi schemes” in the country.
The EFCC also explained to Civil Society Organizations and Non-Government Organizations the importance of eradicating money laundering crimes in the country.
They further explained that NGOs and CSOs stand at the peak of money laundering activities as they are very prone to such crimes. They stated a cause for alarm for controlled transactions over $10,000 and donations over $1000. Furthermore, unreported acts are punishable by law.
Conclusion
In conclusion, these governmental bodies are all driving anti-new money campaigns. All in efforts of rallying citizens under a more controlled system of money. One that would favor the Nigerian economy and reduce digital crime rates.
Question of the Day
Do you think cryptocurrencies are more of criminal tools than futuristic money innovations?
