CBEX Crypto Platform Has Collapsed: Over $847 Million Vanished in Alleged Ponzi Scheme
CBEX, the controversial cryptocurrency platform that promised users up to 100% ROI in just 30 days, has officially crashed. Over $847 million in investor funds has disappeared, with the majority traced to a private Ethereum wallet. Now, users are logging into their accounts only to see empty balances and zero access to their funds.
Yes, CBEX was a scam — and the signs were there all along.
What Is CBEX?
CBEX positioned itself as an AI-driven trading platform offering automated crypto trading services with mind-blowing returns. It claimed that by using artificial intelligence, it could double users’ investments within a month. Users could even earn referral bonuses by inviting others to join.
But behind the fancy dashboards and sleek UI was a well-organized Ponzi scheme, reminiscent of Nigeria’s notorious MMM.
How the CBEX Scam Worked
Detailed investigations and blockchain tracking revealed the operational structure of CBEX’s scam:
- User deposits were directed to a TRX (Tron) wallet.
- Funds were instantly moved from that TRX wallet to USDT, and then quickly converted into ETH (Ethereum).
- These ETH transactions were consolidated into a single private wallet, completely inaccessible to the public or the users.
What users saw in their CBEX dashboards were fake numbers, not backed by actual crypto. The platform simulated AI trading activity, fabricated earnings, and created the illusion of a functioning system — but behind the scenes, nothing was being traded.
When it came time to withdraw? You were paid with someone else’s deposit.
That’s how all Ponzi schemes work: the illusion survives as long as new money keeps flowing in.
Red Flags Were Always There
Tech analysts had been raising concerns for months:
- The CBEX website had no SSL security, exposing users to phishing and data theft.
- It had no regulatory licenses, despite claiming to be a global trading platform.
- Its backend system was so poorly built, some developers suggested it was deliberately fragile — a design choice to avoid detection and scrutiny.
“The red flags aren’t flying anymore. They’re walking, running, and dancing.”
The Collapse: What Happened Over the Weekend
Here’s how it all fell apart:
- $822,852,811.66 worth of user funds was moved to a private Ethereum wallet.
- CBEX locked all its Telegram channels, cutting off communication.
- Withdrawals were postponed indefinitely.
But CBEX added one last insult to injury: a “verification fee” scam.
- If you had over $1,000 in your CBEX wallet, you were told to pay a $200 “verification” fee.
- If you had less than $1,000, you were asked to pay $100.
They claimed this was needed due to a “security breach” and that the fee would be used to verify your account and unlock your funds. In reality, it was just another last-ditch effort to steal more money.
Why You Couldn’t Withdraw
The truth?
Your funds never actually existed on the platform. When you made a deposit, the money was immediately redirected and laundered through other wallets. The platform only showed fake balances — numbers on a screen that looked convincing but weren’t backed by real crypto.
The so-called withdrawals were actually redistributed funds from new users. But once new deposits slowed down, CBEX couldn’t keep up. And just like that, the entire scheme unraveled.
The Wallet That Holds It All
All the money was moved into a single Ethereum wallet. Here’s the TRX wallet address that was used for much of the transaction routing:
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Blockchain analysts confirm that $847 million in USDT has been funneled through this scheme so far — and the number may rise as more wallet movements are uncovered.
Can the Funds Be Recovered?
In theory, yes. In practice, it’s complicated. Crypto funds can be traced on the blockchain, but retrieving them often requires:
- International legal cooperation
- Costly crypto forensic analysis
- Law enforcement intervention
- Potential court orders to freeze and recover wallets
CBEX operated without a license, mimicked the design of legitimate platforms like ByBit, and intentionally kept its infrastructure weak to avoid accountability. This makes recovery extremely challenging and slow.
Need Technical Proof? Watch the Breakdown-video
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