Nigeria's bubbly fintech sector is under fresh scrutiny after the country's anti-corruption agency uncovered a sprawling identity fraud scheme involving thousands of young Nigerians selling biometric data to digital finance platforms.
According to the Economic and Financial Crimes Commission EFCC, over 12,000 individuals are allegedly harvesting and reselling critical identity information-including Bank Verification Numbers BVNs and National Identification Numbers NINs-to fintech companies for as little as NGN 5 K USD 3.33 per identity.
The illicit trade, described by the EFCC as a threat to national security, exposes a troubling weakness in the Know Your Customer KYC processes meant to secure Nigeria's digital financial systems.
In some cases, scammers reportedly pay victims between NGN 1.5 K and NGN 2 K to surrender personal data, including ID photos, address details, and national ID slips. These details are then used to open accounts linked to fraudulent investment schemes, or to launder money via cryptocurrency and microfinance channels.
The alleged fraudsters, often referred to as Account Suppliers or KYC Groups, have created a black market for verified identities, exploiting the very infrastructure designed to enhance trust and access in the country's digital economy.
