Nigeria’s Securities and Exchange Commission (SEC) has asked the Investments and Securities Tribunal to freeze the bank accounts of Crypto Bridge Exchange (CBEX) and 25 other defendants accused of running an unregistered digital asset scheme that allegedly defrauded investors of about ₦1.3 trillion ($800 million).
The request was made at the first sitting of the sixth Tribunal in the case SEC v. Crypto Bridge Exchange and 25 Others, presided over by Tribunal Chairman Aminu Jinaidu. SEC also sought orders for the seizure of properties it said were bought with funds taken from investors through the platform.
SEC told the Tribunal that CBEX operated illegally by presenting itself as a digital asset exchange without registering with the regulator. It said the company promised returns of up to 100% within 30 days, contrary to the Investments and Securities Act.
The Commission said Hong Kong’s Securities and Futures Commission had previously flagged CBEX in April 2024 as a suspicious virtual asset entity, noting that it used a name similar to a legitimate organisation in China.
CBEX and the other defendants did not appear at the hearing and were not represented. The Tribunal ordered that notices be served on them through national newspapers.
CBEX entered Nigeria in July 2024, attracting thousands of users through a website and mobile app that claimed to use artificial intelligence to generate high profits from cryptocurrency trading. The scheme collapsed months later, and investigators concluded it operated as a Ponzi structure.
The case was adjourned to Jan. 27, 2026.
