The Securities and Exchange Commission (SEC) has issued a public warning about Value Growth Platform, an online entity it suspects to be operating a Ponzi scheme under the guise of a legitimate investment service.
In an official statement released Friday, the SEC stated that the platform promotes itself as a sophisticated investment outlet offering market analysis, investment recommendations, and third-party trading services.
However, investigations revealed that these claims are not only misleading but also unlawful.
“The Commission hereby informs the public that Value Growth Platform is not registered by the Commission to either solicit investment from the public or operate in any capacity within the Nigerian capital market,” the SEC stated.
Hallmarks of a Fraudulent Scheme
The commission emphasized that Value Growth Platform displays classic hallmarks of a fraudulent scheme.
These include unrealistic promises of guaranteed returns, aggressive referral programs offering monetary incentives, and urgent solicitations pressuring users to fund their accounts
“Accordingly, the public is advised to be cautious about investing with the said Value Growth Platform, as any person who engages with the entity or its representative does so at his/her own risk,” the SEC warned.
Part of a Broader Regulatory Clampdown
This development follows a string of similar alerts as part of SEC’s intensified efforts to safeguard investors from scams in Nigeria’s increasingly tech-driven financial sector.
Just last week, the commission raised concerns about CMTrading, a cryptocurrency and commodities trading outfit, cautioning that it is not registered with the SEC to operate or seek public investments in Nigeria.
CMTrading allegedly claims affiliation with GCMT South Africa Pty Ltd, which it says is licensed by both the Financial Sector Conduct Authority (FSCA) of South Africa and the Financial Services Authority (FSA) of Seychelles.
Despite these claims, the SEC urged the public to proceed with skepticism and verify any investment opportunities through official channels.
What You Should Know
The SEC also issued a stern warning against two cryptocurrency projects—Zugacoin and Samzuga GPT—citing concerns over their legitimacy and lack of regulatory approval.
- It revealed ongoing promotions of derivative tokens such as SZCB and SZCB2, which are associated with Zugacoin.
According to the Commission, “These digital assets lack regulatory approval and are unauthorized for issuance or trading within the country.”
SEC officials further explained that such coins, often classified as “meme coins,” typically lack intrinsic value or a defined utility. Their worth is often dictated by hype and influencer-driven speculation, making them highly volatile and potentially exploitative.
I lost over 20m to that fraudulent body called CMTrading platform. People be cautious
I lost 2m to Value Growth Platform, they have changed their WhatsApp group to Value User Exchange Group.