Warning! SEC Alerts Nigerians: Avoid Unregistered WayvePay Investment Scheme!
The Nigerian Securities and Exchange Commission (SEC) has issued a critical warning against unregistered online investment platforms like WayvePay and Gvest Global. The SEC advises the public to avoid these platforms due to the high risk of fraud and financial loss, urging investors to verify company registration status before committing funds.
The Securities and Exchange Commission (SEC) has issued stern warnings to Nigerians regarding unregistered online investment platforms. One such platform, WayvePay, has been explicitly identified by the SEC as operating outside legal frameworks within the Nigerian capital market. The commission, in a statement titled “Suspected Fraudulent Activities of WayvePay,” emphasized that WayvePay is not registered to solicit investments from the public or conduct any operations in the capital market. The platform reportedly functions through a dedicated website, various social media channels, and a mobile application.
The SEC strongly advised the public against engaging with WayvePay or any of its representatives concerning investments in the Nigerian capital market. It underscored the significant risks associated with such dealings, warning that individuals who invest through unregistered and unregulated entities expose themselves to potential fraud and irreversible loss of their investments. To mitigate these risks, the commission urged Nigerians to meticulously verify the registration status of any company or entity offering investment opportunities by using its official registration portals before committing their funds.
This warning from the SEC comes amidst a broader concern about the proliferation of unregistered investment companies in Nigeria, which consistently expose the public to substantial financial risks. Illustrating this ongoing concern, the SEC had previously issued a similar notice on August 21, cautioning against Gvest Global and three associated entities: Gvest (Alausa) Cooperative Multipurpose Limited, Gvest Investment Limited, and Gtext Holdings. These entities were also flagged for promoting unregistered investment schemes.
Investigations by the regulator revealed that Gvest Global was actively promoted across social media platforms and online forums. Furthermore, its operational characteristics exhibited "typical indicators and characteristics commonly associated with Ponzi schemes," according to the SEC. Consequently, the commission also advised the public to refrain from engaging with Gvest Global, its associated entities, or their representatives in any capacity related to business within the Nigerian capital market, reiterating the dangers of investing in unregulated schemes.