The Economic and Financial Crimes Commission (EFCC) has launched a full investigation into the massive digital fraud connected to CryptoBank Exchange (CBEX), an online investment platform that recently crashed, reportedly taking over N1.3 trillion in investors’ funds with it.
According to EFCC spokesperson Dele Oyewale, the commission had already begun looking into the activities of CBEX before its sudden collapse. In a statement, Oyewale noted that the EFCC is now working closely with the International Criminal Police Organisation (Interpol) to track down both Nigerian and foreign suspects linked to the scheme.
“We had our intelligence before the incident. We were already working on it, but now that the scheme has collapsed, the major actors and their collaborators will be brought in,” he said.
CBEX was run by a group of foreign operators in partnership with local accomplices and promised investors up to 100% returns in just 30 days.
But on April 9, 2025, the platform restricted withdrawals, shocking thousands of users who later found their account balances wiped out. Some investors were asked to deposit additional amounts ranging from $100 to $200 to recover their locked funds.
In the days following the restriction, many new users continued signing up, believing it was a temporary glitch. The platform even issued a message stating that users needed to verify accounts by depositing more money—raising more red flags.
EFCC has confirmed that recovery efforts are underway and prosecutions will follow where possible. The agency is also looking into other illegal investment operations across the country. Oyewale added that “we are on the local collaborators while we are partnering INTERPOL to trace the foreign operators.”
The collapse of CBEX has caused public anger and sparked chaotic scenes across Nigeria. In Ibadan, frustrated investors stormed the platform’s office, seizing office property. Police and Amotekun officers were deployed to prevent a breakdown of law and order.
In Abuja, the CBEX office in the Jahi district was found locked, with no staff present. A security guard said the building was under watch to prevent attacks. “None of their staff came to work today. I think they might have been informed not to show up,” he explained.
Stories of personal loss have flooded social media. A woman who saved $1,000 for her wedding revealed she had lost it all. Another investor said her brother spent his school fees on CBEX, now unable to face their parents.
One businessman said he introduced three friends to the platform, who together invested $8,000. “I feel bad that the people I introduced might have lost everything,” he said.
Meanwhile, regulatory bodies are calling for tougher actions. The Securities and Exchange Commission (SEC) recently warned against investing in unregistered online trading platforms. SEC Director-General, Dr. Emomotimi Agama, noted that the newly signed Investment and Securities Act 2025 now makes it a criminal offence to operate such platforms without registration.
Agama stated, “The ISA 2025 has given the Commission the legal backing to provide clarity, ensure investor protection, and enhance market confidence.”
In response to the crisis, experts in the financial sector are blaming unchecked greed and lack of due diligence. Investment banker Segun Aremu said many investors fall prey to Ponzi schemes because they ignore risks and go after unrealistic profits. “Anywhere they are telling you about 100 per cent returns, just know that your money can also go missing,” he warned.
The EFCC, in March, released a list of 58 companies operating fraudulent schemes, some of which are already facing trial. Oyewale urged Nigerians to verify investment opportunities before committing funds and encouraged victims to come forward with complaints.
