CBEX’s Biggest Losers Released as Losses Exceed N2 Trillion, EFCC Speaks on Recovery Efforts
- Oil and gas players are the biggest losers in the recently crashed CBEX, a Ponzi scheme, which frittered away over N2 trillion of investors’ funds
- Sources close to some of the investors disclosed that investments into CBEX from oil and gas players accounted for over N1 trillion
- He said the WhatsApp group, where the investors belong, is abuzz as some of the admins have gone underground, while the remaining maintain innocence
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Findings have shown that oil and gas investors may have been the hardest hit in the recently collapsed Ponzi platform, CryptoBridge Exchange (CBEX).
Details over the weekend show that investors from the oil and gas industry accounted for over 50% of losses recorded in the Ponzi scheme’s crash.
Source: Getty Images
CBEX: Oil and gas investors lose N1 trillion
The platform maintained a strong presence in Lagos, Abuja, and Oyo State, giving investors the impression of a legitimate business concern.
Nigerian investors were defrauded last week following the sudden collapse of the platform, which took with it over $850 million, over N2 trillion, of investors' funds.
According to reports, an oil and gas operator disclosed over the weekend that most of those who lost life savings in the dubious platform were from the downstream petroleum industry.
CBEX: WhatsApp admins abscond
The source disclosed that the figures mentioned were downplayed, claiming that the Ponzi platform took over N1 trillion from oil and gas operators alone.
According to him, the WhatsApp group of the oil and gas investors is currently in crisis as some of the admins are at large, while others absolve themselves of blame.
The Sun reports that the investors had blamed the Securities and Exchange Commission (SEC) for lagging in its responsibility.
The source disclosed that CBEX operators did not operate in isolation, as their offices were spread across the country and promoted the Ponzi scheme on social media platforms and mainstream media.
CBEX: SEC vows to prosecute promoters
However, the SEC said that CBEX was not authorised to operate as a digital assets exchange company in Nigeria and warned investors of patronising the platform.
The commission disclosed this via a circular on Thursday, April 18, 2025, stating that CBEX, operating under various names, had engaged in authorised investment solicitation, offering unrealistic high returns to gullible Nigerians.
The SEC stated:
“The Commission hereby clarifies that neither CBEX nor its affiliates were granted registration by the Commission at any time to operate as a digital assets exchange, solicit investments from the public, or perform any other function within the Nigerian capital market.”
The SEC has announced that it will collaborate with law enforcement agencies to take legal action against CBEX, its affiliated companies, and individuals promoting the scheme, in line with Section 196 of the Investments and Securities Act 2025.
The Commission also issued a warning to the public not to invest in schemes that promise unusually high returns or depend on referral-based models to attract investors.
Additionally, it advised Nigerians to verify whether an investment company is registered by checking the SEC's official website at www.sec.gov.ng/cmos before making any investments.
SEC commits to market transparency
The capital market regulator said that CBEX embarked on promotional activities to create a false impression of legitimacy, luring investors with the promise of high yields and failing to honour withdrawal requests, and shutting down its physical offices abruptly.
The SEC said the promoters of the platform will not go unpunished as the law empowers the commission to protect investors and restore market confidence.
Source: UGC
The statement reaffirmed the SEC’s commitment to supporting creativity in the financial services sector, emphasising that all innovations must happen within a regulated environment, prioritising investor protection and market integrity.
CBEX: Expert's guide to withdrawing your money
Legit.ng earlier reported that many Nigerian investors lost their life savings after CBEX, an unsecured and unregistered digital trading platform, crashed on Monday, April 14, 2025.
The platform became unavailable and inaccessible to users seeking to withdraw their funds on Tuesday, April 15, 2025, leading to the belief that it had crashed.
Before the crash on Monday, April 14, 2025, the platform had prided itself as a high-yield investment firm, promising investors a 100% return within a month.
This article has been updated by head of business desk, Victor Enengedi, with additional comments provided by an expert.
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Source: Legit.ng
