Nigerian Startup Flex Bets That Replacing Account Numbers with Paytags Can Cut Fraud
Every
time a Nigerian sends money to someone, they hand over a fragment of their
financial identity. An account number here. A phone number there. A name tied
to a transfer trail. Over time, those fragments accumulate into something a
fraudster can use. Chika Okere, founder of Nigerian fintech Flex, believes this
is the real engine of financial fraud in Nigeria, and he has built a product to
address it.
Flex
has introduced what it calls paytags, unique identifiers that allow users to
send and receive money without ever revealing their actual account numbers.
Instead of sharing sensitive banking details with every transaction, users
share a paytag, a short, custom handle tied to their account but shielding the
underlying financial information from the recipient.
The
Fraud Problem It Is Targeting
According
to Okere, fraud in Nigeria rarely begins with a single dramatic breach. It
starts with accumulation. An account number shared for a payment. A BVN exposed
in a data leak. A phone number attached to a transfer. A name linked to a
salary receipt. None of those fragments is dangerous on its own. But over time,
bad actors collect them, combine them, and build enough of a picture to
impersonate someone, manipulate a bank system, or execute a social engineering
attack.
"What
hackers target is information that makes sense," Okere said. "Nobody
has all your information at once. They collect it gradually."
Paytags
are designed to break that chain by removing the most reusable piece of
information from every transaction: the account number itself.
Still
Early But Ambitious
The
concept is not entirely new globally. Cash App and Zelle have long used payment
usernames and tags in the United States. But in Nigeria, where fraud cases
continue rising and financial identity theft is an increasingly visible
problem, the local application carries more urgency.
Flex
confirmed it deliberately slowed user growth while finalising licensing
partnerships tied to microfinance banking, mobile money operations, and payment
service solutions. Its stated target is 2.5 million users by the end of 2027,
an ambitious number for a platform still in its early stages. Its partnerships
are still forming, its infrastructure still evolving, and many of its claims
remain untested at national scale. But the core insight behind paytags, that
privacy by design is a more durable defence than reactive fraud detection, is
one that Nigeria's financial ecosystem may find increasingly difficult to
ignore.

