The Securities and Exchange Commission (SEC) has issued a strong warning to the Nigerian public regarding the operations of Tofro.com (Tofro), an unregistered online platform that claims to offer cryptocurrency trading services.
In a statement released by the regulatory body, the SEC clarified that Tofro has not received authorization to solicit investments or operate within the Nigerian capital market. The Commission’s findings indicate that Tofro’s business model bears the hallmarks of a Ponzi scheme, including unrealistic promises of high returns, a referral-dependent structure, and reported failures to fulfill withdrawal requests from its users.
“The activities of Tofro.com raise serious red flags typical of fraudulent investment schemes. It is not registered by the Commission in any capacity,” the SEC cautioned.
Members of the public have been urged to exercise extreme caution and refrain from engaging with the platform. The Commission emphasized that anyone investing through Tofro does so entirely at their own risk.
To protect themselves from such scams, potential investors were advised to verify the registration status of any investment company using the SEC’s official portal: www.sec.gov.ng/cmos.
The SEC reiterated its commitment to safeguarding investors and maintaining the integrity of the Nigerian capital market.
