EFCC Uncovers Massive Crypto Fraud Trail
Nigeria’s anti-graft agency has uncovered deep flaws in the country’s financial system after tracing massive digital transactions linked to fraud.
The Economic and Financial Crimes Commission said the findings show how weaknesses across banks and financial platforms were used to move illicit funds at scale.
The discovery followed investigations into cryptocurrency activities and related scams that targeted Nigerians across different states.
According to the commission, commercial banks, fintech firms and microfinance banks were involved in processing transactions without carrying out proper checks on customers and fund sources.
The EFCC said about N162 billion passed through cryptocurrency channels, while an additional N18.7 billion in fraud proceeds was moved through the financial system with little scrutiny.
Officials explained that the funds were able to move freely because basic safeguards such as customer verification, transaction monitoring and reporting obligations were either ignored or deliberately bypassed.
This allowed fraud networks to operate undetected for long periods.
The commission said the findings raise serious concerns about compliance and accountability within Nigeria’s fast-growing digital finance space.
It added that further actions would follow to tighten oversight, hold erring institutions accountable and protect citizens from large-scale financial scams.
