It is sordid experience for scores of hundreds of supposed investors as another Ponzi came crashing! Their darling Metaverse Foreign Exchange (MTFE) Group, a trading service provider for online investment in foreign exchange, commodities, stocks, stock indexes and other products, has shut down its operations.
Investigations revealed that MTFE Group is not only an unlicensed forex broker but also a Ponzi Scheme that lures existing victims into recruiting new ones by offering them unrealistic bonuses. Although it claims to be a financial services provider, its “trading application” has nothing to do with real financial trading revealed sources familiar with the business. The source added, “as of now MTFE has shut down all withdrawals claiming Concerns with KYC System and investors are in panic now”
Unwary investors in Nigeria, like the unforgettable MMM era, have similarly lost tons of hard earned money and investments running into a billion dollars to the audacious MTFE crypto Ponzi scheme.
The scheme is said to be most popular in the Northern Nigeria hence the bulk of victims currently leaking their wounds are from that region. According to Binance reports, the unpleasant development is a grim reminder of the critical roles education and knowledge play in safeguarding oneself against Ponzi schemes and fraudulent crypto projects.
Canada Denies MTFE Group
Although, the MTFE Group claims to be registered in Canada as a money service business with MSB No. M22076570, and also regulated by FINTRAC but the Canadian’s Ontario Security Commission has denied the claim. The regulatory commission boldly displayed on its website, “Metaverse Foreign Exchange Group Inc., found at www.mtfe.ca, is not registered in Ontario to engage in the business of trading in securities”.
Ponzi scheme investments is becoming more and more popular everyday and making victims of unsuspecting people who want to gain ridiculous returns by just “investing” their funds and enjoying. The debilitating effects of MMM remain ever fresh in the minds of the Nigerians who lost millions of naira the scam scheme and its promoters.
Still on Ponzi Scheme
A Ponzi scheme is a mechanism to attract investors with a promise of future returns and works by paying existing investors with money collected from new investors. This way, the ponzi scheme owners can only maintain the scheme as long as new investors are brought into the fold. So they continue to promise high end yields to lure new unsuspecting investors while they use the new investments to pay the old investors who are cashing out.
In a Ponzi scheme, a scammer or con artist offers mouth watering investments that promise extremely incredible high returns with little or no risk to potential investors. The investor will later become their victims especially when the bubble bursts. The returns are said to originate from a business or a secret investments run by the con artist which are often not made public. Actually, the business does not exist or the idea does not work in the way it is described according to investigations.
MTFE Saga and trail of Woes
The MTFE saga, which has left a trail of financial ruin and heartache, showcased the dark side of the cryptocurrency world. Luring in eager investors with the promise of unparalleled returns, the orchestrators of the scheme capitalized on the prevailing curiosity surrounding cryptocurrencies. Operating under a veneer of legitimacy, the Ponzi scheme exploited the lack of awareness and financial education among its victims.
Regional Tragedy with Global Lessons
What sets the MTFE Ponzi scheme apart is the alarming number of victims from Nigeria’s northern states. In these areas, access to reliable information and financial literacy resources is limited, rendering people vulnerable to exploitation. This grim reality underscores the urgent need to equip individuals with the knowledge necessary to navigate the treacherous waters of cryptocurrency investments.
Sadly, MTFE Ponzi scheme app lounges on Google Play Store
As at the time of filing this report, the MTFE fraudulent app still resides on the Google paly store waiting for the next group of victims. It does means the App comes highly recommended by Google as it displays the following:
“MTFE is a trading service provider for online investment in foreign exchange, commodities, stocks, stock indexes and other products. Through the platform, you can use different leverages to trade common products in the international financial market. We provide customers with mobile app and web version trading platforms, and at the same time have very competitive transaction costs, customer investment training courses and a full range of customer service systems. Through MTFE, you can freely choose assets such as foreign exchange, indices, commodities, stocks, etc. As long as the market price fluctuates, it is possible to seize the opportunity to profit from trading with them”.
However all these claims are false and fraudulent as currently being unveiled. Investors are warned to desist from patronizing MTFE or any other similar ponzi schemes. Google should also drop the MTFE app from its play store.
Laughable Ratings on Google
Similarly, Isma’il Yusha’u who in all likelihood may be sulking on the aftermath of the MTFE bubble just on July 19, 2023 rated the App very highly giving a 4-star rating with the following:
“Everything is awesome about the app just 2 suggestions to make. 1. To make withdrawal available even on weekends and also to improve the smartness of the robot trading because just recently (precisely in this month of July 2023) the robot kept making consistent lost in every 1 among the 5 days of trainings. I mean it can do better when enhanced! Apart from that, everything is very good about the app!”
Atabo John gave it an equal rating just about a week ago precisely on 9 August 2023.
He said, “MTFE app has evolved over the last 5months I have used it. The feedbacks from users have been consistently incorporated into the updates. It could be much user friendly if the customer service end is faster. More so, it will be best if transaction history is sent to our email monthly, this enhances transparency and accountability”
This shows the how the promoters swept the unsuspecting investors off their feet and conned them off their hard earned resources.
The Learning Curve
The MTFE Ponzi scheme is an unfortunate chapter in Nigeria’s crypto history, but it serves as a rallying cry for change. Aspiring crypto investors must recognize the dire importance of knowledge in navigating this complex arena. By actively seeking education, staying vigilant, and relying on trusted sources of information, individuals can protect themselves and their investments.
In the aftermath of the MTFE debacle, we have a collective responsibility to fortify ourselves against future Ponzi schemes. Knowledge is not just a key—it’s a shield that guards against deception, safeguards financial stability, and paves the way for responsible and informed crypto investing. Let us learn from the lessons of MTFE and propel ourselves toward a brighter, more secure crypto future.
