The advent of social media is one of the blessings that come with the digital age. However despite the advantages, scam artists have been using the space for scams.
Beginner investors are targeted because of their limited knowledge, and high risk appetite. Investing is not a get rich quick scheme as it takes time to build generational wealth. The earlier you start investing, the better for you as the best time to plant a tree is now.
The Economic & Financial Crimes Commission has also warned about scams in Nigeria and advises you to take precaution. These are the ways how social media artists dupe new investors.
Investment Scams
1. Forex Scam
Forex trading is seen as an easy path to wealth and many don’t take time to learn how it operates before diving in.
Many unregulated forex scammers have social media handles where they advertise with promises of huge rewards and zero risk, to stoke curiosity.
Once you register with them and deposit funds, they let you download an app but the money you see in the app is fake- just like a video game!
When you finally want to withdraw your earnings, you are given excuses and told to deposit more funds, and this goes on till you get tired, and forfeit your money.
In Nigeria retail forex trading is not regulated by the Securities & Exchange Commission (SEC), so Nigerian traders mostly trade via South African forex brokers who are regulated by the FSCA, to get access to trading platforms.
