The Economic and Financial Crimes Commission (EFCC) has launched a comprehensive investigation into a suspected cryptocurrency scam worth approximately N1.3 trillion, linked to the now-defunct digital investment platform, CryptoBank Exchange (CBEX). The EFCC has confirmed its collaboration with the International Criminal Police Organisation (INTERPOL) in tracking both domestic and international individuals involved in this fraudulent scheme.
CryptoBank Exchange, allegedly operated by foreign nationals in collaboration with Nigerians, suddenly collapsed on Monday, leaving numerous investors locked out of their accounts. Many were shocked to discover their balances had been completely wiped out, and the platform demanded further deposits from them in order to regain access to their funds. EFCC spokesperson Dele Oyewale revealed that the commission had already been investigating the platform prior to its downfall, based on intelligence reports. “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 apprehended,” he said in a statement. He further assured Nigerians that the EFCC remains committed to dismantling Ponzi schemes like CBEX, and also highlighted that numerous other similar fraudulent operations are currently under investigation. “There are other fraud schemes operating in various parts of the country that people are unaware of, and we are working to uncover them. We are focusing on the local collaborators, while we partner with INTERPOL to trace the foreign operators,” he added.
Although the full extent of the losses has not yet been officially confirmed, reports suggest that the stolen funds could exceed $847 million (approximately N1.3 trillion), with victims from both Nigeria and abroad. CBEX had promised investors a 100% return on their investments within just 30 days through online trading. However, the platform began restricting withdrawals as early as April 9, 2025. In what many saw as a major warning sign, CBEX demanded deposits ranging from $100 to $200 from users under the guise of “verifying” accounts before allowing withdrawals—an act that lured in even more unsuspecting victims prior to its ultimate collapse.
The Securities and Exchange Commission (SEC) had recently issued a warning about unregistered trading platforms, noting that the new Investment and Securities Act, 2025, makes it illegal to operate such platforms without proper registration. SEC Director-General Dr. Emomotimi Agama urged potential platform operators to seek proper registration to avoid legal repercussions.
The collapse of CBEX has triggered public outrage, particularly in Ibadan, Oyo State, where aggrieved investors stormed the platform’s office in Oke Ado, vandalizing property and looting furniture in protest. In response to the unrest, security forces, including the Nigeria Police and Operation Amotekun, were deployed to restore order.
CBEX had aggressively marketed itself on social media and through peer networks, attracting thousands of investors with promises of high returns. Investigations suggest that the platform frequently changed its domain between January 2024 and February 2025, a move seen as an attempt to evade regulatory oversight. This tactic is now under scrutiny as part of the broader investigation into the scam.