Nigeria’s Securities and Exchange Commission (SEC) has warned the public to be cautious about investing with AfriQuantumX.

AfriQuantumX claims to have attracted $51 million (about N76billion) investments and paid $452 million dividends. It also said the platform has 12,300 active users and 34,900 verified users.

SEC said any person who places investment or engages with the entity, does so at his/her own risk, adding that its operations exhibit characteristics commonly associated with fraudulent Ponzi schemes.

“The attention of the Securities and Exchange Commission has been drawn to the activities of AfriQuantumX, which holds out itself as an investment platform trading on and selling cryptocurrency and stocks to investors in Nigeria.

“The Commission hereby informs the public that AfriQuantumX is not registered by the Commission either to solicit investments from the public or operate in any capacity within the Nigerian capital market,” SEC said in a recent notice.

A misleading message…

AfriQuantumX has been parading as an investment platform that integrates artificial intelligence to optimise financial strategies.

It claims to the project was born with the mission of promoting economic development in Africa and has been recognised for its innovation in the financial sector.

“The platform offers new safe investment opportunities adapted to the needs of those who want to grow their wealth in a reliable and sustainable way,” according to the platform.

“The AfriQuantumX investment platform is an innovative initiative that integrates advanced technologies and the experience of the companies that comprise it, in an accessible and unified solution for the inhabitants of Africa.

“The project was created with the objective of promoting financial growth and improving the economic well-being of the region. Investment can start from as little as $250, making the platform accessible to a wide range of users.

“AfriQuantumX offers a transparent and efficient mechanism to receive regular income directly into investors’ bank accounts, providing a modern approach to capital management and growth,” the platform claims.

It exposes you to financial risk including fraud, potential loss of investment…SEC warns investors

Meanwhile, SEC said investigations have revealed that AfriQuantumX has been actively promoted on social media platforms and online forums.

“The Commission uses this medium to reiterate that transacting in the Nigerian Capital Market with unregistered and unregulated entities exposes investors to financial risk including fraud and potential loss of investment.

“The investing public is therefore reminded of the need to verify the registration status of companies and entities offering investment opportunities on the Commission’s dedicated portal – www.sec.gov.ng/cmos, before transacting with them,” SEC added. (BUSINESSDAY, but headline rejigged)