Nigeria’s rapidly expanding digital finance ecosystem is under threat from increasing cybersecurity breaches, which could erode trust and slow progress in the fintech industry. As cashless policies drive the adoption of digital wallets, mobile payments, and Decentralized Finance (DeFi) solutions, experts are urging fintech companies to strengthen their defenses against sophisticated cyberattacks.
Bidemi Oke, CEO of FlashChange, highlighted the growing risks of phishing, malware, and ransomware targeting fintech platforms. “These threats jeopardize not only operations but also user trust,” he said. In 2022 alone, the Nigerian Communications Commission recorded over 150,000 phishing attempts, many aimed at the financial sector.
Cybercriminals exploit vulnerabilities in systems, leading to data breaches, identity theft, and financial losses. Oke recommended proactive measures such as multi-factor authentication, end-to-end encryption, and machine learning-based anti-fraud systems to detect and prevent suspicious activities. “These strategies are vital to safeguarding digital platforms,” he emphasized.
Despite these challenges, the future of Nigeria’s digital finance remains bright. Blockchain and DeFi technologies are gaining traction, offering secure, transparent, and innovative financial management solutions. According to Oke, these technologies are transforming the industry by improving operational efficiency and addressing inefficiencies in traditional systems.
The decentralized nature of blockchain technology also presents an opportunity to mitigate cybersecurity risks. However, Oke pointed out the need for regulatory clarity and public education to maximize adoption. “DeFi and blockchain are game-changers, but their success depends on creating a supportive ecosystem,” he explained.
As the fintech sector evolves, experts stress that cybersecurity must remain a top priority to sustain growth and build consumer trust in Nigeria’s digitalc.
