By Douglas Maha
The Securities and Exchange Commission (SEC) of Nigeria has warned Nigerians against investing in a cryptocurrency called Punisher Coin, also known as $PUN.
The SEC stated that the presale of $PUN is unauthorised and has not received regulatory approval, raising concerns that it may be a Ponzi scheme.
According to the Commission, the promoters of Punisher Coin are not registered to operate in Nigeria’s capital market in any capacity.
The warning came after the SEC noticed online promotions for the presale, including an article by a Nigerian daily news media, Daily Trust E-Paper titled, “Cryptos to Buy: Why Punisher Coin Could Join Avalanche and Chainlink.”
The SEC clarified that neither Punisher Coin nor its promoters have permission to promote, launch, trade, or seek investments from the Nigerian public.
Preliminary investigations by the SEC suggest that Punisher Coin is a “meme coin,” a type of cryptocurrency that usually lacks real-world value, purpose, or a solid project behind it.
The value of meme coins like $PUN is often driven by social media hype and promotional campaigns, making them vulnerable to “pump and dump” schemes. In these scams, promoters create excitement to inflate the price, sell their holdings at the peak, and leave other investors with heavy losses when the price crashes.
The SEC emphasised that the value of such coins is mostly based on market manipulation rather than genuine substance.
The Commission strongly advises Nigerians to avoid participating in the Punisher Coin presale, as investing carries high risks. It encourages investors to always verify the legitimacy of any digital asset, its promoters, and the trading platforms before committing their money.
