Crypto Comeback or Calculated Ruse? CBEX Resumes Operations Amid N1.2tn Fraud Probe

Even as Nigerian authorities scramble to trace over N1.2 trillion lost to an alleged digital trading scam, the embattled platform at the centre of the storm—Crypto Bridge Exchange (CBEX)—is back online, quietly reopening its doors to new users and reactivating withdrawal options in what some are calling a bold bid for redemption—and others, a fresh setup.

In a surprising turn of events, the controversial digital trading platform, Crypto Bridge Exchange (CBEX), has resumed operations, despite being under intense regulatory scrutiny and linked to a financial scandal that reportedly affected over 600,000 Nigerians.

Two active traders on the platform confirmed to reporters on Wednesday that CBEX had silently relaunched, enabling new registrations, trading activities, and profit withdrawals—even as the Economic and Financial Crimes Commission (EFCC) and the Securities and Exchange Commission (SEC) maintain that investigations are ongoing.

This bold re-entry comes just weeks after the SEC declared the platform illegal, and the EFCC declared eight individuals wanted for promoting what officials say bears the hallmarks of a Ponzi scheme.

At the heart of CBEX’s new promise is a staged withdrawal plan, dependent on the completion of an audit allegedly being conducted by a UK-based insurance firm. According to sources within the trading community, existing investors—many of whom lost access to their funds after the platform's abrupt collapse on April 14—will only be able to retrieve part of their capital starting June 25, when the audit is expected to be finalized.

Still, fresh users are reportedly free to deposit funds, trade manually using “signals,” and withdraw profits immediately—raising concerns among financial regulators and consumer rights advocates.

CBEX first gained traction in 2024 by promising jaw-dropping returns of up to 100% in 30 days through its AI-based trading system. That promise turned sour after what the platform described as a catastrophic AI trading loss wiped out investor balances last month.

To regain trust, the platform’s handlers now claim it is insured and undergoing verification by an international insurer. They’ve also offered a controversial “recovery” option: investors must inject a fraction of their original capital ($100–$200) to trigger restoration of their wiped balances—a move critics say resembles re-investment bait.

Meanwhile, internal communications seen on Telegram show platform administrators downplaying allegations of fraud. One admin, identified as "Laura," attributed the April crash to an external AI breach and suggested the UK government is now involved in an international investigation. She also claimed users have begun receiving compensation—though no official confirmation has been made public.

Efforts to get an official reaction from EFCC spokesman, Dele Oyewale, were unsuccessful as of press time. However, both the EFCC and the SEC had earlier warned Nigerians against engaging with CBEX and similar platforms, labeling them unlicensed and high-risk.

The SEC’s Director-General, Dr. Emomotimi Agama, reiterated this position during a recent awareness campaign in Abuja. “Registration with the CAC or EFCC’s Special Control Unit Against Money Laundering does not make an investment scheme legitimate,” he warned.

Adding to the growing chorus of caution, the Nigerian Financial Intelligence Unit (NFIU) on Wednesday released a comprehensive advisory naming multiple digital platforms—including CBEX—as risky, deceptive, and potentially fraudulent. Others flagged in the advisory include eWealth Connect, WWCoin (TOFRO), ADK, and Delux.

NFIU’s warning highlighted a pattern of manipulative marketing tactics common to such platforms: guaranteed returns, referral-based income models, pressure to invest quickly, and opaque trading mechanisms masked by buzzwords like "AI" and "blockchlain."

Among the more troubling revelations: CBEX now requires affected users to participate in a “claims verification” process initiated by an insurance company affiliated with an entity known as the ST Fund. Without completing this process, funds reportedly remain inaccessible.

Despite mounting evidence and official warnings, the platform continues to draw new users. “We’ve started seeing people re-funding their accounts,” one source said. “They believe they can recover what they lost.”

The CBEX saga underscores a deeper issue: a widespread appetite for high-yield investments among Nigerians, driven by economic hardship and a lack of financial literacy. For regulators, the resurgence of CBEX is a wake-up call—a signal that the fight against digital Ponzi schemes is far from over.

Until legal clarity is established, and the audit results are made public, Nigerians are urged to proceed with extreme caution.