Key Moments:
- Gamble Aware Nigeria highlighted unethical collaborations between fintech apps and gambling operators
- Push notifications and ads on fintech platforms have targeted even underage users, according to Gabriel Akpabio
- Regulatory agencies have not responded to repeated outreach regarding these practices
Concerns Raised Over Fintech and Gambling Integration
Gamble Aware Nigeria has raised alarm regarding the connections between instant payment platforms and gambling apps. The organization is seeking to stop fintech services from linking users directly to betting products and pushing frequent gambling notifications.
General Manager Gabriel Akpabio has condemned operators for what he describes as “gross malpractice” and “unethical representation of responsible gaming policies through fintech brands.” Akpabio highlighted the lack of oversight and regulatory intervention as compounding the problem, stating that some operators are working with fintech firms to evade national regulations and flood users with uncensored betting promotions.
Impact on the Nigerian Market
As gambling addiction becomes a growing issue in West Africa, this marketing loophole is adding further strain. Akpabio complained, “Fintechs have turned into extensions of gambling operators and no one is saying a word,” and pointed out that companies like Opay enable bets to be placed directly through their app, even though Opay lacks the proper regulatory approval. He explained that some underage users have been receiving over 15 messages per minute encouraging them to gamble.
Both Opay Digital Services Limited and Palmpay are popular mobile payment apps serving millions in Nigeria. They are being adopted by over 30 online betting companies each as payment providers. Despite being licensed and regulated for banking services, these fintech brands are not authorized to promote or facilitate gambling activities.
Questionable Responsible Gambling Practices
Akpabio recounted reports from individuals receiving multiple messages per minute urging them to fund their betting accounts. He cited ads like, “If you deposit in your betting account daily, you stand a chance to win an iPhone,” and questioned the permissibility of such aggressive promotions, especially given the risk of addiction.
He emphasized that, “Bettors should gamble for entertainment, and with monies they can afford to lose,” while warning that persistent messaging is pushing users to gamble more frequently than they might otherwise choose.
Akpabio also expressed frustration at regulatory bodies’ lack of response, stating he had contacted the LSLGA at least 22 times and sent four hard copy letters without receiving any feedback.
Growing Concerns Over Addiction and Youth Exposure
While the LSLGA has recently launched a self-exclusion portal called SafePlay, Akpabio argued that the rate of problem gambling continues to increase, including among minors. He reported that over 60 million people in Nigeria are gamblers, with more than 14% struggling with addiction. Akpabio noted, “Today, there are a lot of minors being exposed to betting through these fintech apps,” and said that inquiries into underage gambling typically trace their introduction to these platforms.
Current Lagos State Lottery laws require that between 15% and 20% of gambling ad airtime promote awareness of addiction issues. Akpabio made it clear the organization is not opposed to gambling outright but is demanding stronger protections for vulnerable players.
He said, “Awareness about the harmful effects of gambling needs to be created. It shouldn’t be just us, or Gamble Alert [doing that work]. It really should be championed by the regulators and these operators. If not, the worst could happen.”
Fintech-Gambling Partnership Snapshot
| Fintech Brand | Number of iGaming Clients | Regulatory Status | Gambling Advertising Allowed? |
|---|---|---|---|
| Opay Digital Services Limited | Over 30 | Central Bank of Nigeria Licensed & NDIC Insured | No |
| Palmpay | Over 30 | Central Bank of Nigeria Licensed & NDIC Insured | No |
- Author
Daniel Williams
