Nigerians across social media are raising alarm over the collapse of CBEX, a digital asset trading platform that has reportedly scammed investors out of over ₦1.3 trillion.
The CBEX platform crashed on Monday after users noticed their account balances had vanished. Withdrawals were suddenly postponed, and the platform’s Telegram group was locked, fueling panic among investors.
In a shocking twist, CBEX offered a so-called “lifeline,” promising a $2,000 payout for a $200 verification fee or $1,000 for $100 — a classic Ponzi scheme tactic aimed at extracting even more money from victims.
Where Did the Money Go?
During an X (Twitter) Space hosted by Trending X, cybersecurity and crypto expert Taiwo Owolabi revealed that the stolen funds — over $847 million in USDT — were moved to a TRX (Tron) wallet address, making tracking and recovery extremely difficult.
According to Owolabi, CBEX used a fraudulent platform interface, mimicking reputable exchanges like ByBit, to deceive users. All the so-called “AI trading” and daily profits displayed in the dashboard were fake. Real funds were quickly transferred into private wallets and converted into USDT and Ethereum — a calculated crypto scam.
“The money you see in your CBEX wallet was just numbers. When it’s time for withdrawal, they give you someone else’s money. Eventually, it all collapses,” Owolabi explained.
What Is CBEX Nigeria?
CBEX was marketed as a high-return digital trading platform, offering a suspiciously high 100% ROI in just 30 days. The platform promised transparency and innovation but lacked proper licensing, credibility, or any form of regulation.
Now, it has joined the ranks of crypto Ponzi schemes in Nigeria that have defrauded thousands of unsuspecting users.
Can Nigerians Still Withdraw Money from CBEX?
According to experts, CBEX funds are gone. Some users are tempted by the platform’s new “verification” offers, hoping to recover funds. However, this is a last-ditch scam strategy to get more money from desperate investors. The chance of real withdrawals is almost nonexistent.
SEC Issues Strong Warning Against Unlicensed Platforms
In response to the CBEX crash, the Securities and Exchange Commission (SEC) of Nigeria issued a warning. Under the new Investment and Securities Act (ISA) 2025, it is now a criminal offense to operate an unregistered digital asset or forex trading platform in Nigeria.
“Any business offering online forex or digital asset trading services must be registered with the SEC to avoid legal sanctions,” the commission warned.
The new law empowers the SEC to regulate digital exchanges, commodity trading, and virtual assets. SEC DG Dr. Emomotimi Agama emphasized that while innovation is welcome, it must be within a regulated and secure environment to protect investors and market integrity.
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Final Word:
If you’re wondering whether CBEX withdrawals in Nigeria are still possible, the sad reality is, they are not. The platform’s collapse serves as another reminder for Nigerians to avoid unlicensed digital investment platforms and always verify with the SEC Nigeria before investing.
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