The Securities and Exchange Commission (SEC) has warned Nigerians about the surge of AI-powered scams promising fake profits and endorsements.
According to the Commission, platforms such as CBEX, Silverkuun, and TOFRO illegally advertised AI-powered trading systems with promises of guaranteed profits. “These platforms are not registered or regulated by the SEC, yet they continue to mislead the public with false claims of AI-driven investments,” it stated.
Fraudsters now deploy deepfake videos and AI-generated content featuring politicians, celebrities, and TV hosts to lure victims via Facebook ads, Instagram reels, and Telegram groups.
“Scammers are exploiting AI to fabricate endorsements and testimonials that appear genuine,” the SEC warned, stressing that detection has become more complex.
The regulator said it is strengthening surveillance, partnering with the CBN and NFIU, and engaging social media companies to curb fraudulent ads. It also cautioned influencers against promoting illegal schemes, warning of possible sanctions and prosecution.