The Securities and Exchange Commission (SEC) has warned Nigerians against investing in Zugacoin and Samzuga GPT, describing the crypto assets as unauthorised and unregistered within the Nigerian capital market.
In a statement issued on Wednesday, the Commission said preliminary investigations revealed that both Zugacoin and Samzuga GPT are meme coins — digital tokens with no intrinsic value, real-world utility, or tangible projects backing them.
“The promoters or issuers of ZUGACOIN and SAMZUGA GPT are not registered by the Commission to operate in any capacity,” the statement read. “These assets are not approved for issuance or sale to the Nigerian public.”
The SEC noted that meme coins like these are often driven by hype and community sentiment, making them highly vulnerable to pump-and-dump schemes — fraudulent practices where promoters inflate asset prices with misleading information before cashing out and leaving other investors with losses.
It cautioned Nigerians against the purchase, promotion, or trading of Zugacoin, Samzuga GPT, or similar crypto variants, emphasizing that any individual who chooses to invest in such schemes does so at their own risk.
The regulatory body urged the public to verify the legitimacy of any crypto or digital asset and the registration status of their promoters or platforms through its FinTech portal: https://home.sec.gov.ng/fintech-and-innovation-hub-finport/registered-fintech-operators or via www.sec.gov.ng/cmos.
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