Category: Crypto market

CBEX, a self-described digital asset trading platform, allegedly perpetrated a financial scam in Africa

Thousands of  Nigerian and Kenyan residents are now in financial ruin. CBEX immediately drew users from all over Nigeria and Kenya by promising astronomically high returns of 100 percent in just 30 days.

To entice victims, it took advantage of the area’s economic difficulties. But beneath the ostentatious façade was a sophisticated Ponzi scheme. The platform abruptly collapsed in early April 2025.

In what is generally believed to be a last-ditch effort to extort more money from victims, CBEX disabled withdrawals, closed its official Telegram channel, and required users to pay a $100–$200 “verification” fee to have a chance to get their money back.

CBEX had assured users that they would receive a thirty percent return on their investment in just one month. However, many investors fear that their capital was stolen because they can’t withdraw it. In Ibadan, southwestern Nigeria, irate clients stormed a CBEX office.

Other users reported that their accounts were locked. Many people posted videos of their tears. Just last week, I was prepared to take all of my money out, but my friend advised me to wait and be patient, and now it has crashed,” investor Ola told the BBC.

Nigeria’s Economic and Financial Crimes Commission (EFCC) announced that it launched an investigation into CBEX.

Known by another name, CryptoBank Exchange, it abruptly shut down on Monday, April 14, leaving thousands of investors with losses estimated to be in the millions. EFCC spokesperson Dele Oyewale stated, “We were already working on it, but now that the project has collapsed, the key players and their collaborators will be held accountable,” according to local media.

The Commission assured the Nigerian populace that it was working closely with the FBI, Interpol, and other foreign organizations to find the culprits.

CBEX gained popularity in Kenya by promising profitable trading powered by AI that would nearly double profits in a month. Awuor (not her real name), a finance worker, stated the scam cost her life savings. “I’m not feeling well.”.

According to whoever introduced us, people were earning up to KSh 30 million per month; the more money invested, the larger the returns. I put in more than a million dollars. I know someone who borrowed KSh 4 million and lost everything.

Awuor claims that while she does not anticipate receiving payment, she hopes her story will prevent Kenyans from falling victim to similar frauds.