CBEX Crash: Expert Warns Investors of Low Chances of Recovering Lost Funds

• The digital asset platform CBEX has reportedly crashed, wiping out over ₦1.3 trillion from thousands of Nigerian investors.

• A crypto security expert has weighed in on the situation, stating that the platform’s architecture was designed to deceive users and that recovering lost funds may be difficult.

The sudden crash of the digital asset platform CBEX has left thousands of Nigerian investors reeling, with over ₦1.3 trillion reportedly wiped out.

Cryptocurrency analyst and digital fraud expert, Mr. Taiwo Owolabi, has offered a sobering analysis of the situation.

According to Owolabi, the platform’s architecture was designed to deceive unsuspecting users.

“CBEX was never registered with the Securities and Exchange Commission (SEC), and what users saw on their dashboard was nothing but digits. No real money was trading. It was all a setup,” he said.

Owolabi warned investors against paying additional fees to recover their lost funds, stating that such tactics are characteristic of Ponzi schemes.

“If you pay again, they’ll use that money to settle a few others, just to keep the scam going. It’s a classic ‘rob Peter to pay Paul’ system,” he warned.

The SEC has issued a stern warning, declaring CBEX illegal under the newly signed ISA 2025 law.

“Innovation is welcome, but it must be regulated. Platforms like CBEX operating outside the law put investors at grave risk,” said Dr. Emomotimi Agama, SEC’s Director-General.