SEC warns Nigerians against investing in unauthorised Punisher Coin, $PUN
BY TEMITOPE ADEBAYO
The Securities and Exchange Commission (SEC) has warned Nigerians against investing in Punisher Coin, also known as $PUN, describing it as an unregistered and highly risky digital asset designed to lure unsuspecting investors into a potential pump-and-dump scheme.
In a public notice issued by the Commission, the SEC raised alarm over ongoing advertisements and online publications aggressively promoting an unauthorised presale of $PUN.
It specifically cited a recent article by Daily Trust E-Paper titled “Cryptos to Buy: Why Punisher Coin Could Join Avalanche and Chainlink as a Top Investment Pick”, which it said was particularly misleading.
According to the Commission, Punisher Coin and its promoters have not been vetted or licensed to launch, sell, trade, or solicit investments within the Nigerian capital market.
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The SEC added that its preliminary investigations revealed that $PUN falls under the category of meme coins—digital tokens typically lacking any tangible project, intrinsic value, or real-world application.
“Further investigation has revealed that Punisher Coin, or $PUN, is a meme coin. Meme coins generally have no use case, intrinsic value, or tangible project backing them. Any attributed value is often hype-driven and dependent on aggressive promotion, which is commonly associated with pump-and-dump schemes,” the Commission stated.
Pump-and-dump schemes, the SEC explained, involve promoters artificially inflating the price of a coin by spreading false or exaggerated claims, only to cash out their holdings at the peak. Once the hype fades and the promoters exit, the value crashes, leaving retail investors with significant financial losses.
The SEC urged Nigerians to exercise extreme caution and to verify the legitimacy of any crypto or digital asset investment through its official Fintech and Innovation Hub portal before engaging with such offerings.
It further stated: “Any person who chooses to invest in the presale or trade of Punisher Coin ($PUN) does so entirely at his or her own risk.”
