EFCC places red flag on bitcoin, forex trading, others

The Economic and Financial Crimes Commission (EFCC) has warned that any investment that promises returns that “looks too good to be true should be considered a red flag.”

“Though risk-taking is considered by some as the oxygen that drives investment decisions, the Commission wishes to warn the public against taking unmitigated risk in desperation to earn a windfall,” EFCC spokesman Wilson Uwujaren said in Abuja.

“Investment in Bitcoin, for instance, is a high-risk activity as the terrain is largely unregulated and prone to fraud.”

Uwujaren noted that the EFCC is alarmed at the rate Nigerians send petitions to the commission on fraudulent investments that promise a high return with little risk to investors.

According to him, Nigerians are losing, money to Ponzi schemes, forex trading, and most recently bitcoin trading, compounding the nation’s economic woes.

The spokesperson said the trend indicates that investment scams continue to thrive despite the enforcement and public enlightenment interventions by the commission and other stakeholders.

“The EFCC wishes to state that, while it will continue to investigate and prosecute persons complicit in fraudulent investment schemes, it is incumbent on the investing public to be circumspect in their investment decisions. Any investment that promises returns that look too good to be true should be considered a red flag,” Uwujaren said.

“Nigerians are by this notice, warned to be wary of fraudulent schemes and are hereby enjoined to resist the temptation of quick gain that could end in misery.

“Those who ignore this advisory, do so at their own risks.”