The Economic and Financial Crimes Commission (EFCC) has launched a sweeping investigation into a staggering N1.3 trillion cryptocurrency fraud linked to the collapsed investment platform, CryptoBank Exchange (CBEX). The probe is being carried out in partnership with the International Criminal Police Organisation (INTERPOL) to trace both Nigerian and foreign suspects behind what is emerging as one of the largest digital financial scams in the country’s history.
CBEX, which offered mouthwatering returns of up to 100% in 30 days through online trading, ceased operations abruptly on Monday, locking out thousands of investors who suddenly found their accounts wiped clean.
EFCC Moves In As Panic Grips Investors
EFCC spokesperson, Dele Oyewale, confirmed that the agency had been monitoring the platform even before its dramatic shutdown. “We had our intelligence before the incident. We were already working on it, but now that the scheme has collapsed, the major actors and their collaborators will be brought in,” he said.
He further assured the public that the Commission remains committed to exposing and dismantling fraudulent schemes like CBEX. Oyewale added that other similar platforms are also under active investigation across the country, with local accomplices being pursued while foreign suspects are being tracked with INTERPOL’s assistance.
Red Flags Ignored: From Withdrawal Bans to Forced Deposits
Trouble began for CBEX users on April 9, 2025, when the platform started restricting withdrawals and demanding fresh deposits of $100 to $200 to “verify” accounts. This move, now recognized as a classic tactic in digital fraud schemes, only pulled in more victims before the platform finally disappeared.
According to unverified estimates, over $847 million (roughly N1.3 trillion) may have been stolen from both Nigerian and foreign investors.
CBEX aggressively marketed itself across social media and peer-to-peer networks, frequently switching domain names to avoid detection — a strategy now seen as a calculated effort to stay under regulatory radar.
SEC Issues Fresh Warning as Anger Boils Over
In the aftermath of CBEX’s collapse, the Securities and Exchange Commission (SEC) reiterated its warning against unregistered online trading platforms. SEC Director-General, Dr. Emomotimi Agama, reminded the public that operating such platforms without proper licensing is now illegal under the new Investment and Securities Act, 2025.
Public anger has flared in the wake of the collapse. In Ibadan, Oyo State, enraged investors stormed the company’s office in Oke Ado, vandalizing the premises and carting away furniture. Security forces, including the Nigeria Police and Operation Amotekun, intervened to restore order.
As investigations deepen, financial authorities are urging Nigerians to stay vigilant and avoid investment platforms that promise unrealistic returns without regulatory backing.
