US data firm withdraws service from Nigeria over ‘rampant fraud’

A United States-based data marketplace that rewards users for uploading photos, videos, and other content, Kled AI, has pulled its services from Nigeria after uncovering widespread fraudulent activity.

The company, founded in 2025, operates as a human data marketplace, connecting everyday users with artificial intelligence firms in need of high-quality training data.

Avi Patel, the 22-year-old founder, disclosed that the app has been removed from the Nigerian app store, while an IP ban has also been placed on the country following findings that about 95 percent of activities from the region were fraudulent.

The platform, which pays users for submitting data, reportedly disbursed hundreds of thousands of dollars within four months before the level of abuse became unsustainable.

According to Patel, fraudulent submissions included black screens, duplicate files, AI-generated images, and mass-produced fake Japanese passports with altered Nigerian faces during the Know Your Customer verification process.

“We have removed Kled from the Nigerian app store and IP banned the entire region,” Patel said.

“After several months of uploads we found that Nigeria had a ≈95% fraud rate. Instead of real, usable data, users were uploading pictures of black screens, duplicate photos, internet generated images, AI generated images, etc. at an unimaginable scale.

“In comparison, Malaysia, Indonesia, and the Philippines have a less than 10% fraud rate across 10x the userbase size.”

Patel suggested that the suspension may be temporary, noting that the company could return after developing stronger fraud detection systems.

The development has triggered mixed reactions, with some Nigerians admitting that fraud is common in such online platforms, while others questioned the company’s claims and described the move as a publicity stunt.

Kled AI