SEC Warns Nigerians as CBEX Ponzi Crypto Platform Resumes Operations

SEC Reissues Warning as CBEX Ponzi Scheme Resurfaces in Nigeria

Abuja, June 13, 2025 – Nigeria’s Securities and Exchange Commission (SEC) has sounded the alarm again after the re-emergence of Crypto Bridge Exchange (CBEX), a previously collapsed Ponzi-style crypto investment platform. The SEC cautions Nigerians against engaging with the platform, underscoring renewed reports that CBEX has resumed operations despite regulatory action.

Background: The CBEX Collapse and Fallout

• In April 2025, CBEX imploded after promising 100% returns in 30–35 days, reportedly defrauding Nigerians and Kenyans of up to ?1.3?trillion (~$847?million) .
• The EFCC and INTERPOL launched investigations into the scheme, uncovering multiple domain changes and a complex network of operators .
• Angry investors stormed CBEX offices in Lagos and Ibadan, looting them after losing access to their funds .

Major Red Flags Identified

• Guaranteed profits and AI-driven trading signals with no losses—classic Ponzi hallmarks .
• Hidden backend: app only downloadable via website, not on official app stores, raising cybersecurity concerns .
• Withdrawal restrictions: early withdrawal penalties up to 20%, “verification” fees of $100–200 to access funds .
• Frequent domain changes (e.g., cbex-dex.com, cbex9.com, cbex18.com) suggest evasive maneuvers .

International Alerts & Social Media Outcry

• Hong Kong’s Securities & Futures Commission listed CBEX among “suspicious virtual asset trading platforms”, warning that it falsely uses names similar to legitimate Chinese exchanges and lacks licensing in claimed jurisdictions .
• On Reddit, users describe it as a clear Ponzi scam and “pig butchering” operation. One comment bluntly warns:

“No legit company… forces you to pay a ‘fee’ or ‘taxes’ to withdraw money.”

SEC’s Position

• SEC reiterates that unregistered platforms like CBEX are illegal under the Investments and Securities Act 2025.
• Any entity operating online forex or crypto services without registration faces fines and possible imprisonment .
• Investors are urged to always verify registration status with SEC before investing.

Bottom Line

CBEX has resurfaced despite its April collapse. Its promises of guaranteed returns, hidden fees, AI-powered trading, and evasive tactics fit the blueprint of a classic Ponzi scheme. The SEC’s renewed warning echoes past lessons—investors should steer clear of such platforms and only engage with regulated, registered financial services.