Cybersecurity Imperative: Fintechs Must Prioritize Trust Over Speed in Nigeria

As Nigeria’s digital payments ecosystem expands rapidly, cybersecurity experts are raising concerns about vulnerabilities that could undermine financial inclusion and public trust. Prof. Adewale Peter Obadare, Chief Visionary Officer of Digital Encode, warned fintech operators at the recent Payments Forum Nigeria (PAFON 3.0) that neglecting security in favor of rapid market expansion is a risky strategy.

Obadare emphasized that cybersecurity regulation should be viewed as an enabler rather than an obstacle to innovation. He noted that many companies prioritize infrastructure deployment while postponing security implementation, which he called “fundamentally flawed.” Cybersecurity must be integrated from the outset, he argued, citing recent attacks on Nigerian payment systems where basic security measures were lacking.

“Most of the attacks we’re seeing are because the fundamentals aren’t being done right,” Obadare explained. He compared unsecured payment systems to leaving homes or cars unlocked in public spaces—inherently exposed environments requiring constant vigilance.

The cybersecurity specialist identified electronic fraud as a major threat, noting that cybercriminals increasingly leverage AI to exploit vulnerabilities faster and at greater scale. “AI has put more advanced attack tools into the hands of criminals,” he cautioned, urging organizations to proactively strengthen their defenses.

Obadare highlighted how past regulatory interventions—such as the migration from magnetic stripe to chip-and-PIN technology—have strengthened Nigeria’s payment ecosystem by reducing fraud and building trust. He argued that cybersecurity should be viewed as an investment rather than a cost centre, noting that reactive crisis spending is far more expensive than proactive protection.

“When trust is strong, financial inclusion becomes a pull system, not a push system,” Obadare concluded, emphasizing that sustainable digital growth requires consistent investment in people, processes, and technology.