In the wake of the shocking collapse of Crypto Bridge Exchange (CBEX), which reportedly defrauded Nigerian investors of a staggering N1.3 trillion, the Securities and Exchange Commission (SEC) has stated that victims of the scheme may never recover their lost funds.
Speaking exclusively with Sunday Vanguard, the Director-General of SEC, Dr. Emomotimi Agama, disclosed that there is “nothing the commission can do” to retrieve the stolen funds. His statement comes amid growing public outrage over the closure of CBEX’s operations on April 15, 2025.
CBEX, which operated under the umbrella of ST Technology Ltd., lured thousands of unsuspecting Nigerians with promises of a 100% return on investment — a classic hallmark of a Ponzi scheme. Despite its massive scale, the platform managed to operate largely unchecked until its abrupt shutdown.
Dr. Agama expressed dismay over the delayed reporting of the fraudulent operation. “It is deeply troubling that such a large-scale scheme ran for this long without being flagged. This highlights the urgent need for Nigerians to be more vigilant and report suspicious schemes early,” he said.
He emphasized that under the newly amended Investment and Securities Act, 2025, Ponzi schemes are legally defined as “investment platforms that offer promises which are clearly unattainable.”
The SEC has now intensified its public awareness campaigns, aiming to educate citizens on how to identify and avoid fraudulent investment platforms. However, Dr. Agama cautioned that regulatory authorities can only intervene when scams are reported in time, stressing that “prevention is the best defense.”
The CBEX scandal serves as a sobering reminder of the dangers lurking in unregulated investment schemes. As thousands come to terms with their losses, the incident underscores the importance of financial literacy, proactive regulation, and individual caution. Until a stronger culture of skepticism and early reporting is built among Nigerian investors, the risk of falling prey to similar schemes remains dangerously high.
Like Our Story ? Donate to Support Us, Click Here
You want to share a story with us? Do you want to advertise with us? Do you need publicity/live coverage for product, service, or event? Contact us on WhatsApp +16477721660 or email Adebaconnector@gmail.com
