The Securities and Exchange Commission (SEC) has issued a firm warning to Nigerians against putting their money into investment schemes that are not registered or authorized to operate in the country’s capital market. The warning specifically mentions two entities — Silverkuun Investment Cooperative Society and Silverkuun Limited — which are accused of misleading the public.
In a statement released on Wednesday, the Commission said it has received several alerts about these companies pretending to be investment advisers and fund managers. However, the SEC clarified that neither of the two has any legal standing to act in such roles within Nigeria’s capital market system.
“The attention of the Securities and Exchange Commission (‘the Commission’) has been drawn to the activities of Silverkuun Investment Cooperative Society/Silverkuun Limited which holds itself out as an investment adviser/fund manager,” the circular stated.
The SEC further noted that both organizations are not registered to carry out any form of capital market activities and urged Nigerians to avoid doing business with them. This includes any financial transactions, investment plans, or offers from the firms or their agents.
According to the Commission, dealing with unregistered operators increases the chances of being scammed and can result in a complete loss of investment. “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 statement added.
The Commission also advised the public to confirm the legitimacy of any investment platform through its official website before making any financial commitments
In a related development, the Director-General of SEC, Emomotimi Agama, warned that enforcement actions will be taken against illegal operators. “We will shut down their operations, and the promoters will be made to face the full weight of the law,” he said.
Agama also noted that under the recently updated Investment and Securities Act (ISA) 2025, digital assets now fall within SEC’s regulatory control. This means all digital asset exchanges and virtual service providers must register with the Commission to continue operations legally.
“In a major reform, ISA 2025 officially brings digital assets under the SEC’s regulatory purview, defining them as securities and mandating registration for all virtual asset service providers and digital asset exchanges,” Agama stated.
He further noted that the Commission is stepping up efforts in investor education by launching podcasts, digital awareness campaigns, and including capital market lessons in educational institutions across the country. “This is part of our strategy to equip Nigerians with the knowledge to detect and avoid dubious investments,” he added.
