The Nigeria Securities and Exchange Commission (SEC) has issued a cautionary notice to potential investors about $Davido, a meme coin allegedly linked to the popular Nigerian singer, David Adeleke, also known as Davido.<\/p>\n
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In a statement released on Friday, SEC emphasized that investing in $Davido’s coin is risky due to the speculative nature of meme coins, which lack fundamental value.<\/p>\n
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“The attention of the Securities and Exchange Commission, Nigeria (\u2018SEC\u2019) has been drawn to a meme coin known as \u2018$Davido\u2019 allegedly linked to the popular Nigerian singer, David Adedeji Adeleke AKA Davido. Generally, meme coins are cryptocurrencies inspired by memes and internet jokes. They are often envisaged as fun, light-hearted cryptocurrencies promoted through a social media community and sometimes through celebrity endorsements,” the statement read.<\/p>\n
<\/p>\n
The SEC clarified that meme coins are not intended to function as a medium of exchange accepted for goods and services or as digital representations of capital market products such as shares, debentures, units of collective investment schemes, derivatives contracts, commodities, or other financial instruments or investments.<\/p>\n
<\/p>\n
“The general public is HEREBY ADVISED that meme coins lack fundamental value and are purely speculative. The general public is further WARNED that investing in meme coins, including $Davido, is highly risky and should be done with a full understanding of the associated risk,” the statement continued.<\/p>\n
<\/p>\n
The SEC also warned Capital Market Operators against associating with instruments that fall outside the SEC’s regulatory purview and stated that such instruments should not be distributed or monitored through any capital market mechanism.<\/p>\n
<\/p>\n
“PLEASE NOTE that the Commission does not recognize $Davido as an investment product or investable asset class under its regulatory purview, as such individuals who patronize it, do so at their peril. The Commission will continue to monitor developments within the ecosystem and will not relent in deploying its regulatory powers as and when required,” the statement concluded.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Nigeria Securities and Exchange Commission (SEC) has issued a cautionary notice to potential investors about $Davido, a meme coin allegedly linked to the popular Nigerian singer, David Adeleke, also known as Davido. In a statement released on Friday, SEC emphasized that investing in $Davido’s coin is risky due to the speculative nature of […]<\/p>\n","protected":false},"author":14,"featured_media":34980,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[172],"tags":[],"class_list":["post-34968","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"aioseo_notices":[],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/posts\/34968","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/comments?post=34968"}],"version-history":[{"count":1,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/posts\/34968\/revisions"}],"predecessor-version":[{"id":34981,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/posts\/34968\/revisions\/34981"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/media\/34980"}],"wp:attachment":[{"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/media?parent=34968"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/categories?post=34968"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/abujacityjournal.com\/livenews\/wp-json\/wp\/v2\/tags?post=34968"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}