On November 3, 2025, TechCabal published an article titled “Yellow Card discontinues retail services, turns focus to businesses.” The piece, echoing similar reports in TechPoint and Mariblock, painted a picture of a mature startup making a “strategic refocus.”
According to the article, Yellow Card’s leadership claims:
- “Retail margins were too thin.”
- “We are doubling down on infrastructure.”
- “Funds are safe, and users have until December 31 to withdraw.”
It sounds logical. It sounds professional. It is also only half the truth.
While the media celebrates this “bold move” to enterprise services, they failed to interview the actual retail users left behind in the wreckage. If they had, they would have found a story not of “strategic growth,” but of operational chaos, data dumping, and consumer rights violations.
This report investigates the dark side of the “Pivot” that the tech press ignored.
1. The “Funds are Safe” Myth
The Media Claim: Yellow Card assured the public that withdrawals are open until December 31, 2025. The implication is that any user can simply log in, click “Withdraw,” and receive their Naira.
Yellow Card is artificially inflating Paga’s user numbers while frustrating their own existing customers.
2. The Mystery of “Eded Technologies.”
The Media Claim: The TechCabal article mentions Yellow Card’s “robust infrastructure” and “institutional-grade” rails.
The Reality: If Yellow Card’s infrastructure is so robust, why are they using an obscure, unlisted third-party aggregator to settle retail refunds?
Investigation by Cyber Smart Empire has uncovered transaction receipts identifying the source of these forced refunds not as “Yellow Card Financial,” but as “Eded Technologies Limited.”
- Who is Eded Technologies? They do not appear on Yellow Card’s list of official sub-processors. A search of the Corporate Affairs Commission (CAC) yields scant details.
- The Data Breach: Yellow Card handed over the phone numbers and banking data of its Nigerian users to this entity without obtaining explicit consent.
- The Risk: When a user’s data is shared with an “infrastructure partner” like Visa (as mentioned in the press), there are guarantees. When it is dumped on a shadow aggregator like Eded Technologies during a hasty exit, where does that data end up? In a marketing database? On the dark web?
The tech press praised the “Infrastructure Play” but failed to ask: Whose infrastructure are they actually using?
3. The “Regulatory Headwinds” Cover-Up
The Media Claim: Yellow Card executives cited “market volatility” and “thin margins” as the reasons for the exit. They carefully avoided blaming regulation.
The Reality: The timing suggests otherwise. This exit coincides with the Nigeria Data Protection Commission (NDPC) launching its most aggressive crackdown on data violations in history (evidenced by the N766 Million fine on Multichoice in 2025).
- Yellow Card is not just “pivoting”; they are arguably fleeing.
- By holding millions of dollars in retail deposits, Yellow Card is a prime target for consumer protection lawsuits. By shifting to “B2B only,” they remove the “noisy” retail customers who file complaints
- The messy handling of the refunds, dumping users into shadow wallets, suggests panic, not strategy. A planned strategic exit would involve clear communication, not surprise SMS alerts from third parties.
4. The “Stablecoin Savior” Narrative
The Media Claim: The Bloomberg and TechCabal pieces laud stablecoins (USDT/USDC) as the solution to Africa’s currency woes. Yellow Card frames itself as the savior, bringing “Dollar access” to businesses.
You cannot claim to solve “Dollar Access” when you cannot even solve “Naira Refunds.”
- Yellow Card is telling enterprise clients, “Trust us with your millions,” while simultaneously demonstrating they cannot competently refund N20,000 to a retail user without violating data privacy laws.
- The Warning to B2B Clients: If Yellow Card treats its retail data this carelessly, sharing it with unknown aggregators, how will they treat confidential business data? The “Eded Technologies” leak should be a red flag for any corporate treasurer considering Yellow Card’s services.
We call on the journalists at TechCabal, TechPoint, and Mariblock to update their stories. Reporting the company’s press release is not journalism; it is PR.
The Real Questions to Ask Chris Maurice (CEO):
- Why are refunds not processed directly to users?
- Who is Eded Technologies, and why do they have access to your user database?
- Did you obtain user consent before opening Paga wallets for refund?
- Are you aware that the NDPC is currently investigating these “Shadow Wallets”?
Yellow Card wants to leave the Nigerian retail market quietly. They want to shut off the lights, lock the doors, and move upstairs to the VIP “Enterprise” lounge.
But they have left a mess in the lobby. Every unauthorized data transfer to “Eded Technologies” is a potential lawsuit.
To the Nigerian Tech Community: Do not let the “Pivot” narrative distract you. This is not about business strategy. This is about Consumer Protection.
Are you a victim? You are not crazy. The system is broken, and the “news” is not reporting it.
Report Data Abuse: press@cybersmartempire.com
