CBEX Crash: Expert Speaks On Chances Of Investors Recovering Their Money

The dust is yet to settle following the sudden crash of the controversial digital asset platform, CBEX, which reportedly swept off over ₦1.3 trillion from the wallets of thousands of Nigerian investors.

As confusion reigns and the uproar grows louder, an expert in crypto security and online trading has offered a sobering analysis on the chances of investors recovering their lost funds.

Speaking on a live session hosted on X Space by Trending X, cryptocurrency analyst and digital fraud expert, Mr Taiwo Owolabi, explained that the architecture of the CBEX platform was designed to deceive unsuspecting users.

He revealed that funds deposited by Nigerians were channelled into a TRX (Tron) wallet and later converted to USDT and Ethereum, effectively making them untraceable to the average user.

“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,” Owolabi said, adding that the so-called AI trading system on the platform was completely fake.

On whether Nigerians can still withdraw their money, the expert clarified that while the platform now dangles a supposed lifeline—promising $2,000 for a $200 verification fee, and $1,000 for $100—such tactics are characteristic of Ponzi schemes trying to wring out the last kobo from desperate victims.

“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.

Meanwhile, the SEC has issued a stern warning, declaring CBEX illegal under the newly signed ISA 2025 law by President Bola Tinubu.

The Commission reminded Nigerians that any entity offering digital trading or forex services must be duly registered.

“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.

As at press time, CBEX has locked its Telegram group, postponed all withdrawals, and maintained silence despite mounting outrage.

Investors are advised to exercise caution and avoid throwing more money into a platform now widely described as one of Nigeria’s biggest crypto scams to date.