SEC Warns Nigerians Against Investing In Meme Coin ‘$PUN’

By: Olufemi Orunsola 

The Securities and Exchange Commission (SEC) of Nigeria has issued a robust warning to Nigerians, cautioning against investment in the meme coin ‘$PUN’, also known as Punisher Coin, amid concerns over its unauthorised presale and high-risk nature.

In a statement released on its website today, the SEC highlighted that the promoters and issuers of ‘$PUN’ are not registered to operate within Nigeria’s capital market in any capacity. The regulatory body stressed that the cryptocurrency, currently being advertised across various online platforms, has not been approved for public issuance in the country.

OPEN TELEVISION NAIJA (OTN) News reports that the warning by the SEC highlighted that the promoters and issuers of ‘$PUN’ are not registered to operate within Nigeria’s capital market in any capacity. 

The regulatory body cautioned that the cryptocurrency, currently being advertised across various online platforms, has not been approved for public issuance in the country.

The SEC classified ‘$PUN’ as a meme coin, a type of digital asset often lacking tangible utility, intrinsic value, or supporting projects. Such coins, the commission noted, are typically driven by social media hype, promotional activities, and speculative trading, rendering them particularly susceptible to market manipulation and volatility.

The promoters or issuers of ‘Punisher Coin’ aka ‘$PUN’ are NOT REGISTERED to operate in any capacity in the Nigerian Capital Market,” the SEC declared in its notice. It urged Nigerians to verify the registration status of any investment offering, particularly those involving crypto assets, through its official channels before committing funds.

This alert forms part of the SEC’s broader efforts to shield investors from fraudulent and unregulated opportunities within Nigeria’s rapidly expanding digital asset landscape. The commission expressed rising concerns over the proliferation of dubious digital currencies and platforms operating outside regulatory oversight.

The Director-General of SEC, Emomotimi Agama, recently underscored the importance of transparency and compliance in the digital asset space. He reiterated that the newly signed Investments and Securities Act 2025 establishes clear rules and registration requirements for such platforms to foster trust and protect investors. “It is crucial that even celebrities exercise caution in their endorsements,” Agama warned, adding, “Promoting meme coins that lack merit for the generality of Nigerians will not be tolerated.”

The SEC’s advisory follows a previous cautionary statement regarding the significant risks tied to meme coin investments, including those linked to Afrobeat star David Adeleke, popularly known as Davido. 

The commission reiterated that meme coins are highly speculative and advised the public to approach such investments with a full understanding of the associated risks.

Nigerians are strongly encouraged to exercise diligence and caution, as the SEC continues to monitor developments in the crypto ecosystem and stands ready to deploy its regulatory powers as needed to safeguard the public.