…Thousands of investors defrauded as platform collapses
By Douglas Maha, Abuja
The Economic and Financial Crimes Commission (EFCC) has opened a major investigation into a cryptocurrency scam estimated at over ₦1.3 trillion, allegedly orchestrated through the now-defunct digital investment platform, CryptoBank Exchange (CBEX).
According to the EFCC, the commission is working closely with the International Criminal Police Organisation (INTERPOL) to trace and apprehend both local and foreign suspects linked to the fraud.
CBEX, reportedly operated by a group of foreign nationals alongside Nigerian collaborators, abruptly ceased operations on Monday, leaving thousands of investors locked out of their accounts. Many users discovered their balances had vanished overnight, with the platform demanding additional deposits before access could be restored.
EFCC spokesperson Dele Oyewale confirmed that the commission had begun probing the platform before its collapse, following credible intelligence reports.
“We had our intelligence before the incident and were already working on it. Now that the scheme has crashed, we are moving in on the major actors and their accomplices,” he said.
Oyewale added that similar fraudulent schemes are under active investigation nationwide. “Many of these scams remain under the radar. We’re closing in on local collaborators while partnering with INTERPOL to track foreign suspects,” he stated.
Though official figures are pending, unconfirmed estimates place the total losses at over $847 million (about ₦1.3 trillion), affecting both Nigerian and international investors.
CBEX had promised 100% returns within 30 days through cryptocurrency trading. On April 9, 2025, the platform began restricting withdrawals, later demanding additional deposits of $100 to $200 for “account verification”—a move that signalled a looming collapse.
The Securities and Exchange Commission (SEC) recently warned against unregistered trading platforms, citing provisions of the new Investment and Securities Act, 2025. SEC Director-General, Dr. Emomotimi Agama, advised platform operators to seek proper licensing or face legal consequences.
The platform’s collapse triggered protests in Ibadan, Oyo State, where enraged investors stormed CBEX’s Oke Ado office, vandalising property and carting away furniture. Security operatives from the Nigeria Police and Operation Amotekun were swiftly deployed to restore calm.
Investigations further reveal that CBEX frequently changed its domain name between January 2024 and February 2025, a move believed to have been a deliberate attempt to avoid regulatory scrutiny.
