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ORCHESTRATORS of Ponzi schemes have increasingly turned to Artificial Intelligence (AI) tools to make their scams appear more sophisticated, believable, and harder to detect.
With AI now able to generate realistic human faces, clone voices, and produce professional-looking videos within minutes, fraudsters no longer need real investors or legitimate businesses to attract victims. Instead, they manufacture trust digitally and push it aggressively across social media platforms.
Nigeria has repeatedly witnessed the destructive impact of Ponzi schemes on individuals and families. The collapse of CBEX remains one of the most recent high-profile examples, wiping out billions of naira for millions of participants who believed they were investing in a peer-to-peer donation system. Many victims lost school fees, rent money, and business capital, plunging households into financial distress.
Before CBEX, several similar schemes had emerged, each repackaged with new branding but operating the same fraudulent model. Platforms such as MMM, Loom, Ultimate Cycler, Racksterli, and numerous online “investment clubs” promised quick wealth while quietly depending on continuous recruitment to survive. Once new members slowed down, the platforms collapsed, leaving late participants with nothing.
What has made these scams far more dangerous is the integration of AI. With AI, fraudsters can create realistic human faces, generate convincing voices, and produce news-style videos that mimic legitimate financial announcements. These tools allow them to fabricate credibility at a scale never seen before.
As economic hardship pushes many people to search for quick income opportunities, these AI-powered scams thrive. Recognising the warning signs is now essential for protecting personal finances.
- AI-generated testimonial videos that appear real
Many Ponzi adverts now feature individuals confidently claiming they earned huge profits within days or weeks. These videos are often created using AI technology, meaning the people shown may not exist at all. Although they look convincing, small details such as stiff facial movements, unnatural blinking, or robotic voice tones can reveal that the content is artificially produced.
These fabricated success stories are designed to replace real customer experiences that the scammers do not have.
Our earlier investigation exposed how a YouTube advertisement targeting Nigerians was launched in June 2025. The video showed a man in a shirt with an overused, fake ‘African accent’ encouraging people to join Quantum AI, another AI-powered Ponzi scheme. Looking at how the man in the video looks like a real human, some people may not realise it is AI.
- Manipulated endorsements from well-known figures
Another common tactic is the cloning of respected public figures to falsely promote investment platforms. Using AI, scammers replicate the faces and voices of pastors, entrepreneurs, media personalities, or influencers, making it appear as though these individuals are recommending the scheme. This creates instant trust among viewers who recognise the figure, even though the endorsement is completely fake and unauthorised.
An earlier investigation by The ICIR shows how AI-generated videos of public figures, such as 2023 Labour Party presidential candidate Peter Obi and Nigerian lawmaker Saliu Mustapha, were used to promote Ponzi schemes.
In the AI-generated video, the voice of Mustapha, a popular philanthropist in Nigeria, was cloned to appear as if he had said the scheme has an AI-powered analytical function that allows it to predict trends, and subscribers could invest N395,000 to earn N1,580,000 per week.
Obi, in his case, was purportedly telling people to invest in a Ponzi platform and earn a sum of “N7 million” every month. The former LP presidential candidate reportedly stated that the investment platform was created with his backing and the support of the Federal Government. However, findings by The ICIR show that neither video is genuine.
- Promises of guaranteed extremely high Returns
AI-driven Ponzi adverts consistently promote unrealistic profits, often claiming that investors can double their money quickly or earn a fixed daily income with no risk. These promises contradict the realities of legitimate investing, where returns fluctuate, and losses are possible. The certainty of profit is deliberately used to remove doubt and attract people who may be financially desperate.
For instance, CBEX, which wiped out many people’s money in Nigeria, promised a 100 per cent return on investment in just 30 days.
- Confusing or vague explanations of how profits are made
Rather than clearly explaining their business operations, Ponzi schemes rely on buzzwords such as AI, cryptocurrency, or automated trading systems. The explanations are often overly technical or intentionally unclear, making it difficult for potential investors to understand where money actually comes from. This lack of transparency helps hide the fact that profits are usually paid from new participants’ deposits.
- Strong emphasis on referrals
Participants are frequently encouraged to invite others to earn more money. The focus shifts away from any real product or service and toward building a network of new investors. This structure ensures that funds flow from newcomers to earlier participants, a classic Ponzi model that inevitably collapses when recruitment slows.
For instance, MMM and CBEX offered 10 per cent referral bonuses before their collapse. To maximise these bonuses, participants often register multiple accounts for themselves using their referral links.
- Pressure tactics
Many adverts are scripted to make people feel they must act immediately. They often suggest the opportunity is about to close or that only a few slots remain, prompting viewers to invest quickly without doing any research. This emotional pressure is a common scam technique designed to prevent careful thinking.
- Suspicious social media accounts or websites
These adverts are usually posted from newly created pages or profiles with little history. The accounts or websites often display repetitive praise comments that look automated or fake.
Genuine investment companies typically have established online presence, clear contact information, and verifiable reviews, while scam pages disappear once the scheme collapses.
- Requests for payments through unofficial or hard-to-trace channels
Instead of using recognised financial institutions or registered corporate accounts, scammers often ask victims to send money directly to personal accounts, digital wallets or other informal payment methods. This makes it extremely difficult to recover funds once the scheme shuts down, allowing fraudsters to disappear without a trace.
- Absence of regulatory approval or legal registration
Most Ponzi schemes operate without authorisation from financial regulators such as Nigeria’s Securities and Exchange Commission. When asked for proof of legitimacy, promoters may avoid the question or present questionable documents.
Legitimate investment firms are always properly registered and transparent about their regulatory status.
