SEC Warns Nigerians as CBEX Announces New Rules For Withdrawals

• The Securities and Exchange Commission has issued a warning to Nigerians after CBEX resumed operations with new rules
• CBEX operators are instructing Nigerian investors with trapped funds to make additional deposits before they are allowed to withdraw
• The Economic and Financial Crimes Commission is still trying to recover an estimated N1.3 trillion in investors' funds

Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The Securities and Exchange Commission (SEC) has issued a warning to the Nigerian public after it was revealed that CBEX (Crypto Bridge Exchange) has resumed operation.

In a statement released on X, the commission restated that CBEX activities remain banned in the country.

Recent media reports revealed that CBEX has resumed operations despite ongoing efforts by the Economic and Financial Crimes Commission (EFCC) to recover investors' funds estimated at over N1 trillion.

According to the reports, CBEX promoters have introduced new rules requiring subscribers to pay a fee of $200 for balances exceeding $1,000, and $100 for balances below $1,000, before withdrawals are allowed.

These actions have raised red flags as CBEX, along with its associated entities, is neither registered with the Commission nor authorised to offer investment services to Nigerian citizens.

SEC warns Nigeria about CBEX

Reacting to the latest development, the SEC has reiterated its stance that CBEX and ST Technologies International Ltd are operating illegally in Nigeria.

Part of the CBEX reads:

"The Commission hereby restate unequivocally that neither CBEX nor ST Technologies International Ltd (or Smart Treasure/Super Technology) is registered with the Commission or authorized to offer investment related services to the Nigerian public.

"As a matter of fact, enforcement action has already been initiated against CBEX and its promoters following its previous unauthorized investment activities and the Commission is collaborating with relevant Law Enforcement Agencies to properly investigate CBEX/ST Technologies International Ltd and will take appropriate actions in line with the provisions of the Investments and Securities Act 2025."

SEC further warned Nigerians to avoid engaging with CBEX/ST Technologies International Ltd (Smart Treasure or Super Technology) to avoid financial losses, Punch reports.

It added:

"The Nigerian public is accordingly advised to REFRAIN from patronising or transacting with CBEX/ST Technologies International Ltd (Smart Treasure or Super Technology) as they risk losing their funds.

"The public is advised to VERIFY the registration status of Investment platforms via the Commission's dedicated portal: www.sec.gov.ng/cmos before transacting. The Commission remains committed to protecting investors and maintaining market integrity."

SEC issues warning as another investment platform emerges

Earlier, Legit.ng reported that the SEC warned Nigerians about TOFRO.COM, an unlicensed platform luring investors with fake promises

The commission said the platform claims to be a cryptocurrency investment platform, but noted that it is a Ponzi scheme

SEC has urged Nigerians to verify investment platforms before jumping into them to avoid costly scams

Source: Legit.ng