• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Business News

NDIC Calls Bitcoins, Block Chain “Ponzi Schemes”

Chacha Wabara by Chacha Wabara
April 7, 2017
in Business News, Cryptos, Financial Literacy, Markets
NDIC Calls Bitcoins, Block Chain “Ponzi Schemes”
Share on FacebookShare on TwitterShare on Linkedin

Nairametrics| The Nigeria Deposit Insurance Corporation, NDIC, has cautioned Nigerians against investing their hard earned funds in certain cooperative contributory schemes that had gone beyond their primary mandate of accepting contributions from their members, but rather patronize non-members with the promise of huge returns.

“I wish to emphasise that cooperative societies are established to mobilise savings from their members only. I therefore call on non-members not to patronise them as they are neither licensed as deposit taking financial institutions nor insured by the NDIC,” he said.

The NDIC equated such cooperatives with Ponzis such as Bitcoin and the flailing MMM, whom they once again advised Nigerians against. This warning was sounded by NDIC Managing Director, Umaru Ibrahim, who was represented by Nicolas Ibrahim, the NDIC Controller at Enugu Zonal Office at the ongoing 2007 Enugu International Trade Fair on Thursday, Premium Times reports.

He said that the warning was important, as NDIC cannot salvage funds from such schemes as they were neither authorised by the CBN nor insured by the NDIC.

RelatedStories

Memecoins led the industry in Q2 2024 and total crypto market cap fell by 14% — Report

FATF raises alarm over rising illicit crypto use globally, urges stronger regulation  

June 26, 2025
SEC warns Nigerians against unregistered trading platform CMTrading 

SEC warns Nigerians against unregistered trading platform CMTrading 

June 21, 2025

“I wish to draw attention to emergence of the various Ponzi schemes, popularly called Mavrodi Mundial Movement (MMM) and other forms of digital and block-chain currencies. These ponzi schemes also came in form of virtual currencies such as Bitcoin, Ripples, Monero, Litecoin, Dogecoin and Onecoin for medium of exchange and web based transactions which are neither authorised by the CBN nor insured by the NDIC,” he said.

It’s surprising hearing this from the NDIC Chairman as he did not clearly differentiate between a ponzi scheme and a crytocurrency, let alone the Block Chain technology. While most Central Banks around the world are circumspect when it comes to cryptocurrency, they have not referred to it has a ponzi scheme. Block Chain technology on the other hand, is also widely acknowledged as the new frontier in financial record keeping with some of the major banks around the world investing billions in harnessing its capabilities.

It appears Nigerian regulators are perhaps not well informed about cryptocurrencies and block chain technology.

Tags: CryptocurrencyFinancial ServicesMMMNDICPonzi schemeTech
Chacha Wabara

Chacha Wabara

Chacha Wabara-Ogbobine is a Legal practitioner with over 9years post call experience. A research Consultant, professional writer and a blogger at heart,owner of four thriving websites with well over 10years of experience. Totally in love with keeping fit and coaching weight loss enthusiasts. I love my quiet time, being with my kids, watching TV series for hours on end.

Related Posts

Memecoins led the industry in Q2 2024 and total crypto market cap fell by 14% — Report
Cryptos

FATF raises alarm over rising illicit crypto use globally, urges stronger regulation  

June 26, 2025
SEC warns Nigerians against unregistered trading platform CMTrading 
Cryptos

SEC warns Nigerians against unregistered trading platform CMTrading 

June 21, 2025
EFCC: Achimugu’s case unrelated to Atiku, Sanwo-Olu, agency says
Crime and Insecurity

EFCC arraigns Ponzi scheme director Precious Williams over alleged N13.8 billion fraud  

June 17, 2025
Nigeria’s Justice System is Ruining Investment Confidence – Johnson Chukwu Shares His Story On Talknomics
Digital Media

Nigeria’s Justice System is Ruining Investment Confidence – Johnson Chukwu Shares His Story On Talknomics

June 14, 2025
NDIC
Financial Services

NDIC begins liquidation dividend payments for Pearl Microfinance Bank depositors and shareholders 

May 31, 2025
What does liquidity mean in crypto? 
Opinions

What does liquidity mean in crypto? 

May 23, 2025
Next Post
7 “Strategic” Minerals Nigeria Has Considered Priority

7 "Strategic" Minerals Nigeria Has Considered Priority

Comments 3

  1. babaztee says:
    April 7, 2017 at 10:43 am

    This is the height of ignorance. Having access to an open, transparent ledger of bank and other financial transactions as provided by the Blockchain technology, would also be useful for regulators, and it could help governments tackle tax fraud and corruption.

    Reply
  2. YOJU says:
    April 21, 2017 at 1:31 pm

    its quite a shame, in a situation where financial technology is rapidly taking over the financial sector and cryptocurrency is still referred to as a ponzi scheme, can this people be enlightened please

    Reply
  3. Effiong Anwana says:
    May 20, 2017 at 3:03 am

    The so-called financial experts in our nation need more education regarding block chain technology which is even embraced by some third world countries. They should read more about cryptocurrency and see how their foreign counterparts booming their economy with the use of blockchain technology.

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • IGP sues Abu Arome, 3 Ghanaians over alleged forgery of company shares allocation document
  • Nigeria’s oil rig count rises to 46 in July 2025 – NUPRC
  • Oyo State approves N7.7 billion for two surveillance aircraft to combat insecurity 

Follow us on social media:

Recent News

IGP prosecutes Nigerian businessmen over alleged N13.5 billion forex fraud dispute  

IGP sues Abu Arome, 3 Ghanaians over alleged forgery of company shares allocation document

July 9, 2025
Nigeria’s gas flare commercialisation programme could unlock $2.5 billion investment – NUPRC 

Nigeria’s oil rig count rises to 46 in July 2025 – NUPRC

July 9, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics