Nigeria is rapidly emerging as a digital powerhouse in Africa, with internet and mobile phone usage consistently on the rise. By 2030, the country’s digital transformation market is expected to reach almost $27 billion. Yet, this impressive growth brings with it significant challenges, particularly in the realm of cybersecurity.
In recent times, AI driven scams and fraudulent activities have been on a high rise. These scams are perpetrated using AI tools and Large Language Models that make them appear to be so real and convincing yet fake.
In 2025, AI scam surged 1,210% far outpacing the 195% growth in traditional fraud, and projected losses which could reach $40 billion by 2027.
According to Vectra, Deepfake video scams surged 700% in 2025 with Gen Threat Labs detecting 159,378 unique deepfake scam instances in Q4 2025 alone. Enterprise variants include executive impersonation in video calls (as in the Arup case), deepfake ads impersonating financial executives, and deepfake job candidates used by DPRK operatives.
This surge in AI driven scam is worrisome as global investment in AI surges higher, potentially opening more doors for the roll out of new and more advanced AI scamming tools and methodologies.
Nigeria as a country globally well known for cyber crime and internet fraud is leading the charge in AI driven fraud. Many experts fear AI driven fraud could wreak serious havoc in the country if left unchecked as a large percent of the countries digital population comprises of elderly citizens and unsuspecting youths who are sure to fall victims for most of today’s AI scams out there.
Yesterday, Kled AI, a US-based data marketplace that rewards users for uploading photos, videos, and other multimodal content, released a statement withdrawing its services from Nigeria following the detection of “rampant fraud”.
Kled AI, founded in 2025, functions as a human data marketplace. The company focuses on bridging the gap between everyday consumers and AI companies requiring high-quality training.
Avi Patel, the 22-year-old founder of the company, said Kled’s app was removed from the Nigerian app store, with the organization implementing an IP ban on the country after discovering that approximately 95% of activities from the region were fraudulent. The platform, which pays users for contributing data assets, reportedly paid out hundreds of thousands of dollars over four months before the scale of the abuse became unsustainable.
According to the founder, fraudsters submitted black screens, duplicate files, AI-generated images, and mass-produced fake Japanese passports featuring photoshopped Nigerian faces during the Know Your Customer (KYC) verification process.
“We have removed Kled from the Nigerian app store and IP banned the entire region,” Patel said.
“After several months of uploads we found that Nigeria had a 95% fraud rate. Instead of real, usable data, users were uploading pictures of black screens, duplicate photos, internet generated images, AI generated images, etc. at an unimaginable scale.
“In comparison, Malaysia, Indonesia, and the Philippines have a less than 10% fraud rate across 10x the user base size.”
Patel hinted that the suspension is temporary, pending the development of more robust detection tools.
5 Ways Scammers In Nigeria are using AI to Scam Unsuspecting People in 2026
1. Deepfake and Voice cloned AI Generated Scam
Deepfake and Voice cloned AI Generated Scams: Deepfake AI generated scams are internet scams orchestrated using deepfake AI tools and AI voice cloning apps that generate highly realistic Videos and Pictures of Celebrities, Politicians and Businessmen.
Today, Nigerian scammers have increasingly shifted from traditional text-based tactics to sophisticated artificial intelligence (AI) tools, such as deepfakes and voice cloning, to deceive victims globally. Between 2019 and early 2023 alone, AI-enabled telecommunications fraud cost Nigerians approximately ₦12.5 billion.
An example is a French Woman named Anne, who was duped of €830,000 in a relationship scam using Deepfakes and Voice cloned apps. This French woman was tricked using Deepfake AI generated pictures and videos depicting British Movie Actor Brad Pitt lying down bedridden in a hospital. She was then led to believe that she was in a relationship with the Movie Actor who needed money to settle his hospital bills and that he would pay her back once discharged. Unknowingly, she transferred the money to the fraudsters account and everything was gone in a flash. This Deepfake AI generated scam would later be traced to a Nigerian IP Address.
2. AI Driven Ponzi Scams
Today in Nigeria, AI led Ponzi scams have infiltrated the country in large numbers. What makes it worst, is that fact that these AI Driven Ponzi scams, are setup mostly by foreigners, many who hail form Asian Countries such as China and the Philippines. Together with corrupt Banks, Fintech organizations and regulatory officers in Nigeria, these Fraudsters successfully setup AI Ponzi scam offices in the country, defrauding Millions of Nigerians of their hard earned monies.
Earlier this year, one such platform, Crypto Bridge Exchange (CBEX), collapsed after luring thousands into activating a so-called AI trading feature. Victims lost billions of naira overnight after fake trades and smooth interfaces gave way to frozen accounts and vanished funds. CBEX, which falsely claimed to be affiliated with the China Beijing Equity Exchange, used AI-generated trading logs, 24/7 bot-run customer service, and fake social media credibility to convince investors it was legitimate.
CBEX is not alone among classic Ponzi schemes now disguised as generative AI in Nigeria. Other platforms, such as Prime Aurora Platform, have utilized AI to create interviews with public figures endorsing their schemes, thereby deepening public trust and expanding their reach in Nigeria.
Today Scammers in Nigeria are using AI Deepfakes to digitally clone high-profile figures and create highly convincing Videos and Pictures. In recent times, Videos have falsely depicted Billionaire Aliko Dangote, WTO Director-General Ngozi Okonjo-Iweala, Businessman Tony Elumelu and even the Nigerian President Bola Ahmed Tinubu endorsing suspicious investment schemes. Investment Schemes: Platforms like Crypto Bridge Exchange (CBEX) have lured thousands into “AI trading” features that eventually collapse, leading to massive financial losses.
Last year, a very good friend of mine lost all his savings to an AI enabled Ponzi scheme called “Hive AI” where he was asked to purchase an online money minting machine. This online money minting machines comes in various amounts ranging from ₦20,000 to over ₦500,000. How the AI driven Ponzi scam works: upon purchase of the online money minting machine, the machine automatically generates 20% of the total purchase price every 24hrs so for a machine of ₦20,000 naira, every day it generates ₦4000 naira in cash for you and you can withdraw your entire generated proceeds instantly. This AI driven scam went on for several months with some victims purchasing up to ₦500,000 or more in cumulative machines until it finally crashed and Millions of Nigerians including my friend went about lamenting in sorrows.
3. E-commerce fraud
Today, Nigeria’s e-commerce adoption is surging high, according to Statista, with user penetration surpassing regional averages. As one of the largest e-commerce markets in Africa, Nigeria is making significant strides. Today the countries boasts of giant e-commerce online stores like Konga and Jumia. However, the coming of AI has enabled the rapid creation of fraudulent e-commerce websites, which can now be set up in minutes. These sites mimic legitimate ones, making it difficult for consumers to distinguish between real and fake. AI-generated product descriptions, images, and reviews deceive customers into trusting these fake merchants. To make matters worse, internet fraudsters in Nigeria are using AI-powered chatbots to further complicate matters by interacting convincingly with customers, delaying charge backs with scripted excuses and manipulating complaints to maintain a professional facade. Once payment is made for the purchase of a product any one of these fake e-commerce websites, that money is gone!
Interestingly, these internet fraudsters also use giant social media platforms such as Facebook, Instagram and Telegram to carry out e-commerce fraud. They do this, by creating fake business profiles depicting them as online merchants of a particular product say Mobile Phones, Deep Freezers, Television sets etc. These fraudsters purchase hacked/stolen accounts with large number followers in order to create a convincing picture. They subsequently engage in widespread marketing of these fake products in online groups and forums offering incredible discount on their products. The goal is get unsuspecting victims to make payment for the purchase and delivery of these extremely cheap tech products after which they disappear without a trace
4. Job and employment fraud
Nigeria today comprises of a large number of unemployed populace. Many of these unemployed people sadly, are university graduates, who have toiled for several years in school, only to graduate and enter into a labour market with virtually Non-existent jobs thereby raising their levels of job desperation.
Today, Internet fraudsters in Nigeria, have taken advantage of this dire situation. Using Generative AI tools, these scammers create fake job listings, profiles, and email campaigns from top companies in the country like NNPC, Dangote Industries, Nigerian Customs Service etc. They create fraudulent job offers which are then posted on websites to lure desperate job seekers while using AI-powered interviews and automated emails that enhances the credibility of these scams.
Ultimately, these innocent job seekers asked to pay huge sums of money in order to secure the roles and abruptly defrauded of their hard earned savings.
5. Tech support scams
Today, internet fraudsters are using Tech support scams to deceive people into paying for unnecessary services by pretending there are problems with their devices or software. These Scammers create links injected with Malware and Virus to gain access to computers and phones remotely, allowing them to steal information and install harmful software.
These scammers often pretend to be IT support from well-known companies, using social engineering to gain trust and access. It involves gathering information about victims and creating credible lures via phone, email, or text. AI tools can make these tactics more effective by quickly organizing and generating information.
Recently, mass warnings have been issued out on Nigerian radio stations and information dissemination centers about an “ITunes Customer Support Scam”. This scam involves internet fraudsters disguising as customer support agents and scamming unsuspecting victims of their hard earned money.
Impact of AI Driven Scams on Nigerian Economy
-Huge Financial Losses: Between 2019 and early 2023 alone, AI-enabled telecommunications fraud cost Nigerians approximately ₦12.5 billion. In 2025, AI scam surged 1,210% far outpacing the 195% growth in traditional fraud, with projected losses that can reach up to $40 billion by 2027. These AI driven scams, if left unchecked, could destroy Nigeria’s financial economy, thereby driving inflation up, leading to rapid closure of businesses and ultimately resulting in increased losses of jobs.
-Destruction of Nigeria’s Public Image: Nigeria is country that comprises of over 250 different language speaking tribes and ethnic groups. However, not all Nigerians that are involved in the dirty deeds of cybercrime and internet fraud. Categorically, Nigerians from the southern part of the country are the champions of internet fraud in the country. These cyber criminals mostly hail from the southern parts of the country such as Lagos, Ogun, Oyo, Edo, Delta, Enugu, Anambra etc. They are consistently destroying the countries general public image with these illicit acts, a burden of guilt, which is carried by all Nigerians, despite the fact that Millions of Nigerians are innocent of these acts and many are hard working Farmers, Carpenters, Teachers etc.
-Erosion of Trust: Almost Every week, Nigerians in different parts of the world are convicted of Internet fraud and cyber related criminal offenses. These acts are continually eroding trust in dealing with Nigerians. Without international trust, many Nigerians will struggle to land high paying jobs abroad or even be associated with due to the fear of being scammed as a result of the evil precedent that has been set by Nigerian Cyber Criminals and Internet Fraudsters.
-Opens Portals for Bigger International Cyber Hackers and Criminals to Attack: Series of unchecked AI driven internet fraud and cyber scams opens portals for bigger international criminal organizations to infiltrate the country and carry out sophisticated operations against Nigerian Banks, Institutions and Organizations. Example is the recent cyber hack on the Nigerian Corporate Affairs Commission (CAC) where an internationally known criminal cyber hacking organization known as ByteToReach attacked and stole over 15Million highly sensitive business information from the commission mandated with handling and storing Nigerian Business Information’s.
How to Protect Yourself from AI Driven Scams
-Always Verify Identity: In the world of AI, always verify individual identity when communicating with unknown persons. Hang up dubious calls, and call back family members or companies directly using trusted phone numbers if you receive a suspicious, urgent request.
-Ask Personal Questions: When communicating with someone you are not clear of his or her identity, ask questions that only the actual person would know in a potential voice-cloning scam.
-Be Skeptical of Urgency: Internet fraudsters always try to be persuasive so be wary of high-pressure tactics urging immediate money transfers or sensitive data sharing.
-Job hunters should watch for signs of job fraud: Job hunters should always watch out for requests for payment, offers that seem too good to be true, unsolicited interview requests via text, and no formal communication channels, he or she started. Please note that Scammers may also ask for personal information for ‘verification’; hence, Job seekers should validate websites by checking for secure connections (https) and using tools like Microsoft Edge’s typo protection.
-Educate your Employees: To effectively counter these AI driven scams, it’s important to educate employees about the correct procedures for getting helpdesk support. Implementing Zero Trust principles, which enforce the least amount of access necessary for accounts and devices, can also help reduce the damage if an account is compromised. Employees should be aware that unsolicited tech support offers are often scams and always seek tech support from trusted sources.
-Deploy 2-Factor Authentication: Always make sure your security is top priority. Be sure to deploy and turn on 2-Factor Authentication for your email accounts and social media logins.
-Report Fraud: Report scams to your financial institution and local law enforcement authorities.
The era of AI Automation is already here and this Automation is surely going to drive cybercrime up. Today, Generative AI is rapidly advancing Phishing scams and perfected Email scams where scammers now using generative AI to remove the spelling and grammatical errors that previously made “Nigerian Prince” scams easy to spot while others are creating highly convincing job listings with AI-powered automated emails to build credibility with job seekers.
Ola Williams the Managing Director of Microsoft Nigeria and Ghana says “AI technology is giving cybercriminals the tools to create incredibly deceptive scams. With the ability to draw on fake product reviews, AI-generated websites, deepfakes, and voice cloning, these scammers can carry out their campaigns on a massive scale while still appearing authentic. It’s vital for businesses and individuals in Nigeria to keep abreast of developments as these AI-driven tactics become increasingly sophisticated,”
“As Nigeria’s digital economy grows, the rise in AI-driven scams reminds us that vigilance, education, and robust security measures are essential. By understanding these threats and empowering ourselves with knowledge, we can create a safer digital world for all,” concludes Williams.
This rally cry is a wake up call for all Nigerians as the consequences of increased AI driven fraud is surely going to be felt by all Nigerians irrespective of ones role in these illicit fraudulent acts. Nigerian authorities must tighten its grip on Nigerian Data and close all loopholes that allows internet fraudster’s and cyber criminals successfully thrive in the country.
Leave a Reply