The Federal Government, through the Securities and Exchange Commission (SEC), has issued a strong warning to Nigerians against investing in a cryptocurrency called Punisher Coin, also known by the ticker $PUN or SPUN, citing serious concerns over its legitimacy.
In a statement released on Sunday in Lagos, the SEC described the ongoing presale of the coin as unauthorized and unregulated, warning that it bears the hallmarks of a Ponzi scheme.
According to the commission, its preliminary investigations revealed that Punisher Coin is a meme coin—a category of cryptocurrency that typically lacks intrinsic value, utility, or credible projects backing it. The SEC stated that the coin’s promoters are not registered to operate in any capacity within Nigeria’s capital market.
“The attention of the Securities and Exchange Commission has been drawn to several online publications advertising an unauthorized presale of a crypto coin termed ‘PUNISHER COIN’ aka ‘SPUN’,” the statement read.
“The Commission hereby informs the public that the promoters or issuers of ‘Punisher Coin’ are NOT REGISTERED to operate in any capacity in the Nigerian Capital Market. The coin is also NOT approved for issuance to the public.”
The SEC further explained that meme coins like $PUN are often driven solely by hype and community promotion, making them prone to pump-and-dump schemes—a fraudulent practice where promoters artificially inflate a coin’s value, only to sell off their holdings at a profit, leaving investors with worthless assets.
“Once the promoters dump their coins and the hype ends, the price typically collapses, leading to significant losses for investors,” the commission warned.
Public Advised to Avoid Participation
The SEC urged the public to steer clear of the Punisher Coin presale, stressing that anyone who invests in the scheme does so at their own risk.
It also advised Nigerians to always verify the legitimacy of any digital or crypto investment, including the registration status of promoters and trading platforms, via the commission’s official Fintech portal:
👉 https://home.sec.gov.ng/fintech-and-innovation-hub-finport/registered-fintech-operators
Rising Crypto Scams in Nigeria
This latest warning comes amid an increasing wave of cryptocurrency-related scams in Nigeria. Earlier in May, the SEC cautioned against Tofro.com, an alleged illegal crypto trading platform, while in April, several Nigerians lost funds to Crypto Bridge Exchange (CBEX)—another unlicensed digital asset operation.
The SEC continues to emphasize the importance of due diligence and regulatory compliance when engaging in any form of virtual or digital asset investments.
