Group petitions CBN, EFCC others over Nigerians defrauded by Paxful

United Global Resolve For Peace (UGRF) has petitioned the Central Bank of Nigeria (CBN), Economic and Financial Crimes Commission (EFCC) and the Ministry of Foreign Affairs over allegations that an online trade merchant group, Paxful based in Estonia, is defrauding Nigerians.

The non-governmental organisation who spoke exclusively with The Guardian through its Executive Director, Shalom Olaseni said Paxful is an online host which provides the platform for trade in not just bitcoins but other e-currencies like Apple gift-cards. He said the online merchant group has gained notoriety over the years for its fraudulent dealings with its Nigerian users that deal mainly on bitcoins and cryptocurrency, adding that the glitch in the reliance of Nigerians on bitcoins has been that most of the e-wallets holding these funds are run by foreign based firms given the trust basis Nigerians have.

Olaseni added that Paxful is registered in Estonia with major branch offices in the United States of America, Hong Kong and Manilla in the Phillipines with its headquarters at 3422 Old Capitol Trail PMB# 989 Wilmington DE 19808, Tallinn, Estonia.

The Guardian gathered that stories of customer’s disaffection and agonies from traders on https://www.paxful.com is truly disheartening and reeks of routine exploitation, where users accounts are being deducted illegally or accounts suspended without due process or proper investigation. Olaseni however, called on the CBN and relevant government agencies to as a matter of urgency come to the aid of Nigerians that have been defrauded by the online trade merchant group, adding that the absence of regulation of the activities of Paxful puts it above the reaches of the law and other checks necessary to keep it in line with best practices.