Tekedia Capital congratulates our portfolio company, Vetsark, for being named Best Seed Startup at 2025 AfricArena Lagos Fintech, Mobility & Logistics Summit. Vetsark funds more poultry farmers in Nigeria than any bank! Yes, it is a neonbank for poultry farmers. It gives more than money, it provides most things any poultry farmer needs to thrive.

Last week, I congratulated another of our portfolio, Kuraway, for winning the 2025 Launchpad competition organized by Founders Connect. Kuraway anchors intra-African trade with its technologies and solutions, making it easier for farmers, SMEs, etc to scale their operations across Africa.

We’re Tekedia Capital and we’re investing to build the next Africa through entrepreneurial capitalism.

Circle, the issuer of USD Coin (USDC), froze approximately $57.65 million in USDC held in two Solana-based wallets linked to the LIBRA memecoin scandal. The freeze was executed following a temporary restraining order issued by a federal court in the Southern District of New York, prompted by Burwick Law, which is representing hundreds of LIBRA investors in a class-action lawsuit filed in March 2025.

The lawsuit targets Kelsier Ventures and its co-founders—Gideon, Thomas, and Hayden Davis—along with others like Meteora and KIP Protocol, alleging they orchestrated a pump-and-dump scheme. The LIBRA token, promoted by Argentine President Javier Milei, surged to a $4 billion market cap in February 2025 before crashing over 90%, leading to accusations of market manipulation and insider trading. A hearing is scheduled for June 9, 2025, to determine if the funds will remain frozen.

There’s debate over whether the freeze was also influenced by an Argentine investigation, with plaintiff Martin Romeo claiming involvement, though Burwick Law attributes it solely to the U.S. court order. The freeze, prompted by Burwick Law’s class-action lawsuit and a U.S. federal court order, signals growing judicial willingness to intervene in crypto markets, especially in cases of alleged fraud like the LIBRA pump-and-dump.

This could set a precedent for holding crypto issuers, promoters, and platforms accountable, potentially increasing regulatory scrutiny on memecoins and decentralized finance (DeFi) projects. The action may bolster investor confidence by showing that legal recourse is possible in crypto scams, where recovery of funds is often difficult. However, it also highlights the risks of unregulated tokens, potentially deterring retail investors from speculative assets like memecoins.

Circle’s compliance with the court order demonstrates the centralized control stablecoin issuers wield, which could spark debate about the balance between regulatory compliance and the ethos of decentralization. It may push users toward fully decentralized alternatives or raise questions about stablecoin vulnerabilities to legal interventions. The freeze affects wallets on Solana, implicating platforms like Meteora and KIP Protocol named in the lawsuit.

This could lead to reputational damage and reduced trust in Solana-based DeFi ecosystems. It may also pressure exchanges and protocols to enhance due diligence to avoid similar scandals. The involvement of Argentine President Javier Milei and claims of an Argentine investigation add geopolitical complexity. If Argentina’s government is pursuing parallel actions, it could complicate cross-border legal efforts, especially given crypto’s global nature and varying jurisdictional regulations.

Circle’s ability to freeze $57M in USDC underscores the centralized control over stablecoins, clashing with the decentralized ideals of many crypto advocates. Critics may argue this undermines the promise of financial sovereignty, while supporters of the freeze see it as necessary to combat fraud. The lawsuit alleges insider trading and market manipulation by Kelsier Ventures and affiliates, pitting retail investors—who suffered massive losses after LIBRA’s 90% crash—against well-connected insiders who allegedly profited.

This fuels distrust in memecoin projects often driven by hype and influencer endorsements. The U.S. court’s swift action contrasts with slower or less defined regulatory responses in other jurisdictions, like Argentina. This divide could lead to a fragmented global crypto regulatory landscape, where outcomes depend heavily on where legal action is pursued.

On platforms like X, sentiment is split. Some users praise the freeze as justice for defrauded investors, while others view it as overreach, arguing it punishes the broader crypto ecosystem and stifles innovation. Posts on X also reflect skepticism about Milei’s role, with some calling it political posturing, while others defend his libertarian stance. The upcoming June 9, 2025, hearing will be critical in determining whether the freeze holds, potentially shaping the trajectory of these divides and influencing future crypto litigation and regulation.

Shell Nigeria Exploration and Production Company Ltd (SNEPCo) is set to deepen its hold on Nigeria’s offshore oil production following a landmark $510 million acquisition of TotalEnergies’ 12.5% non-operated stake in Oil Mining Lease (OML) 118.

The move, announced on May 29, 2025, by TotalEnergies, marks a significant reconfiguration of one of the country’s most critical deepwater oil blocs, centered around the Bonga field — Nigeria’s flagship offshore development.

Once regulatory approvals are secured, Shell’s ownership in the OML 118 Production Sharing Contract (PSC) will rise from 55% to 67.5%, further entrenching its control over the consortium, which includes Esso Exploration and Production Nigeria (20%) and Nigerian Agip Exploration (12.5%).

OML 118 is located about 120 kilometers offshore of Nigeria’s Niger Delta. It contains the Bonga and Bonga North fields — assets of strategic importance not only to Shell but to Nigeria’s overall oil output and revenue profile.

Why This Matters for Shell and Nigeria

The acquisition underscores Shell’s deliberate pivot toward deepwater projects in Nigeria following its exit from onshore operations earlier this year. Shell had transferred its entire onshore business to Renaissance, a consortium of four local firms and one international energy group, citing operational difficulties such as vandalism, theft, and litigation in the onshore terrain.

By contrast, offshore fields like Bonga have remained relatively insulated from such disruptions and continue to be key contributors to Nigeria’s crude output. Shell’s increased stake in OML 118 positions it to drive future project developments, particularly Bonga North, which is expected to produce up to 110,000 barrels per day at peak, with the first oil anticipated by the end of the decade.

“Following our final investment decision on Bonga North last year, this acquisition brings another significant investment in Nigeria deepwater that contributes to sustained liquids production and growth in our Upstream portfolio,” said Shell’s Upstream President, Peter Costello.

Bonga North, a subsea tie-back to the existing Bonga Floating Production Storage and Offloading (FPSO) unit, is estimated to hold over 300 million barrels of recoverable oil equivalent — offering Shell a long-term production horizon and an opportunity to stabilize output from its Nigerian operations amid global upstream volatility.

What TotalEnergies Is Saying and Doing

The French major, meanwhile, says the sale is part of a strategic high-grading effort focused on low-cost, low-emission assets. TotalEnergies’ upstream chief, Nicolas Terraz, said the company is concentrating its investments on projects where it retains operational control and can align more closely with its decarbonization targets.

“In Nigeria, the company is focusing on its operated gas and offshore oil assets and is currently progressing the development of the Ubeta project, designed to sustain gas supply to Nigeria LNG,” Terraz stated.

The Ubeta gas field is a major upstream investment aimed at boosting supply to the Nigeria Liquefied Natural Gas (NLNG) facility in Bonny Island, where TotalEnergies is a significant shareholder. The company produced 209,000 barrels of oil equivalent per day in Nigeria in 2024, making the country one of its most vital contributors globally.

Impact on Nigeria’s Oil Sector

The deal comes at a time when Nigeria is under intense pressure to boost its crude production, which has remained well below OPEC quota levels due to theft, underinvestment, and project delays. With government revenue tightly linked to oil exports, increased foreign investment in stable deepwater projects is seen as a critical path to recovery.

Shell’s renewed commitment to Nigeria through this acquisition sends a strong signal to international markets that confidence in the country’s offshore sector remains robust — even as onshore operations continue to face regulatory and security challenges.

Furthermore, the transaction may also catalyze new fiscal discussions around Production Sharing Contracts. While Nigeria passed a landmark Petroleum Industry Act (PIA) in 2021 to overhaul outdated fiscal terms, legacy PSCs like OML 118 are still undergoing a gradual transition. Analysts say Shell’s deeper involvement in OML 118 may hasten the renegotiation of terms that could unlock more revenue for the Nigerian government.

There are also geopolitical implications. With Western energy majors pulling out of onshore operations and handing assets over to local firms, deepwater fields are fast becoming Nigeria’s new energy frontier — with Shell leading the way. This consolidation could either streamline decision-making or raise concerns about market concentration, depending on how the government responds.

Shell’s acquisition may also be seen as a vote of confidence in Nigeria’s offshore regulatory stability at a time when the country is struggling to attract broader foreign direct investment. Experts note that while deepwater operations are capital-intensive, they offer longer project life spans and fewer community-related disruptions.

However, some have cautioned that unless Nigeria addresses persistent challenges such as contract sanctity, regulatory clarity, and offshore licensing delays, deals like this may remain limited to a few legacy blocs rather than spurring a broader deepwater resurgence.