The Securities and Exchange Commission (SEC) has issued a public notice that warns Nigerians against investing in unauthorized pre-sale of Punisher Coin ($PUN). The notice cited that $PUN is being promoted across multiple online channels, despite that it's not registered for public distribution in Nigeria.
The promoters or issuers of ‘Punisher Coin’ aka ‘$PUN’ are NOT REGISTERED to operate in any capacity in the Nigerian Capital Market, the agancy stated via the public notice.
Based on SEC's initial findings, $PUN is categorized as a meme coin. However, the reason concerns are raised is because meme coins are type of digital currencies often recognized for having little practical/utility use, inherent worth, or associated projects.
The commission said that any individual who invests in $PUN meme coins does so at his/her own risk. The commission said that meme coins like $PUN are driven by social media hype and promotional efforts to make them vulnerable to market manipulation.
Such coins are commonly linked to pump-and-dump schemes, where promoters inflate prices with misleading claims before selling off their shares, leaving everyday investors with significant losses when the buzz fades.
The SEC's efforts regarding this notice is to protect and prevent investors from fraudulent and unregulated digital asset schemes in the crypto market that's rapidly expanding Nigeria. The SEC advises the public to check the legitimacy of any investment opportunity, particularly those involving cryptocurrencies, by confirming their registration status through official SEC channels.
