The Executive Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, has issued a strong warning to Nigerian investors about the increasing prevalence of virtual assets and investment scams across the country.
Speaking during a public lecture marking the African Union Anti-Corruption Day on June 11, 2025, Olukoyede emphasized that these digital-based frauds are rapidly gaining prominence and could potentially outpace traditional money laundering schemes on the continent.
The lecture, themed "Understanding Virtual Assets and Investment Scam," was delivered by Uyo Zonal Director of the EFCC, Assistant Commander Johnson Oshodi, who represented the chairman at the event.
Olukoyede highlighted how investor negligence often facilitates these fraudulent schemes. "In simplified language, virtual assets are digital representations of monetary values which operate on blockchain and which can be traded, exchanged, and transferred for payment or investment purposes. They are cryptocurrencies, digital tokens operating on ledger technology," he explained.
The EFCC chairman clarified that virtual assets themselves are not inherently criminal, but rather become problematic when exploited for fraudulent purposes. "It is when they are wrongfully or fraudulently used that they become criminal. Technology is moving at a supersonic speed around the world," he noted.
Drawing lessons from recent cases such as the CBEX situation, Olukoyede pointed out that "the investing public inadvertently aids fraudulent practices through lack of due diligence on schemes advertised to them." He further observed that investors rarely report suspicious transactions to the EFCC until after they have been defrauded.
"We must understand that no investment scam can succeed without the negligence of investors," Olukoyede emphasized, urging Nigerians to exercise greater caution and conduct thorough research before committing funds to investment opportunities.
The EFCC chairman reassured the public of the commission's commitment to engaging all stakeholders in both preventive and investigative activities. He stressed that virtual assets and investment fraud, like other fraudulent schemes, can be prevented through adequate knowledge and understanding of the underlying issues.
Also speaking at the event, ACE II Emeka Ukpai, the keynote lecturer, emphasized the need to close the "window of ignorance" that fraudulent investment operators exploit to defraud unsuspecting members of the public.
As investment scams continue to evolve with technology, the EFCC's warning serves as a timely reminder for Nigerians to remain vigilant and practice due diligence when considering investment opportunities, particularly those involving virtual assets and digital currencies.
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