ON March 11, 2025, the Economic and Financial Crimes Commission (EFCC) published a list of 58 illegal Ponzi schemes operating in Nigeria. However, one of the most talked-about platforms in recent days, Crypto Bridge Exchange Smart-Treasures, popularly known as CBEX, was notably absent.
The EFCC said the list was part of its ongoing effort to clean up Nigeria’s financial space and provide the public with reliable information on fraudulent investment schemes. But in the days that followed, distraught Nigerians began storming CBEX offices in Ibadan and Lagos after discovering they had lost millions to what appears to be a failed investment platform.
CBEX, an AI-driven cryptocurrency trading platform that promised “100% returns monthly,” allegedly shut down on Friday, April 11, locking users out of their accounts. The crash ignited protests, with frustrated investors attempting to break into the company’s offices. In Ibadan, the situation escalated into chaos as a mob looted the office premises
EFCC: CBEX has no physical presence in Nigeria
When contacted by The ICIR on April 16, EFCC spokesperson Dele Oyewale explained why CBEX was not on the agency’s March list. According to him, CBEX operates purely online with no verifiable physical presence or jurisdictional ties to Nigeria. While noting that all transactions were done online.
“It has no jurisdictional link with Nigeria and something that has no jurisdiction link with Nigeria, with no practical physical presence”, Oyewale said. “So our operation might not be able to do anything about it.”
“But now, with the crash of the platform, we are not caught unaware. We are already working on it,” Oyewale stated.
We have commenced investigation – EFCC
He added that although there are no guarantees, the EFCC is working towards recovering funds for affected investors. “The investors will get back their money. It might not be immediately, but they will get back their money. It is not an assurance,” he said.
“I am telling you that operationally, we are working and because we are working, we will ensure that investors get back their money,” Oyewale stated.
Regarding reports of CBEX offices in Ibadan and other locations, Oyewale clarified, “Their transaction is online. So all the people that are going to their offices to destroy things, are just wasting their time. Everything is online now.”
As of now, no arrests have been made, but Oyewale confirmed that investigations are ongoing. “Whenever we make an arrest, we will let the public know,” he replied.
Why Nigerians keep falling for Ponzi Schemes – Anti-corruption advocate
Olanrewaju Suraju, an anti-corruption advocate, says the continued patronage of Ponzi schemes in Nigeria is largely driven by poverty and the absence of credible investment alternatives.
Describing the situation as “unfortunate,” Suraju who is the Chairman of Human and Environmental Development Agenda (HEDA) said, “if you are encouraging people to desist from an act that is perceived as an opportunity for them, you must be able to give them alternatives. This failure of providing an alternative is a major inducement and also an opportunity for the scammers.”
He also criticised the government for offering only verbal warnings without holding institutions accountable. Suraj urged financial regulators to investigate and sanction banks and other institutions enabling fraudulent schemes.
Suraju said the EFCC and ICPC must act swiftly without waiting for these scams to crash before taking action.
“Investigate all the financial institutions that are connected or involved and finally get to the root of how they were able to compromise other agencies, including even radio stations that were assisting them in promoting the scam by publicising and mobilising certain people to join,” he said.
On CBEX’s omission from the EFCC’s list, Suraj speculated that the platform’s discreet operation in Ibadan, rather than in high-profile cities like Lagos or Abuja, may have helped it fly under the radar.
A reporter with the ICIR
A Journalist with a niche for quality and a promoter of good governance