Nigerians on several social media platforms have begun to count their losses as a digital asset trading platform popularly known as CBEX reportedly swept over N1.3 trillion from their investors’ accounts.
The digital trading platform crashed on Monday after the money in their investors’ wallets vanished.
CBEX also locked its telegram channels and postponed its withdrawals while giving investors the lifeline of $2,000 for $200 verification and $1,000 for $100 verification.
Five Things To Know About This Platform:
- Alleged Ponzi Scheme: CBEX, a digital trading platform, promised investors a 100% return on investment within 30 days.
- Massive Financial Losses: Investors have reportedly lost over $847 million (₦1.3 trillion). Many accounts were wiped clean, leaving users with zero balances.
- Withdrawal Restrictions: CBEX administrators introduced a controversial “verification fee” system, requiring additional deposits of $100 or $200 to access funds. Critics have labeled this a final attempt to extract more money from investors.
- Public Outcry and Looting: Frustrated investors have taken to social media to express their losses. In some cases, angry mobs looted CBEX offices in Ibadan, carting away furniture and equipment.
- Regulatory Warnings: Nigeria’s Securities and Exchange Commission (SEC) has warned against unregistered trading platforms like CBEX, emphasizing the risks of investing in schemes that promise unrealistic returns.
Here is how victims of this scheme can recover their money:
- Report to Authorities: Victims should file complaints with the Economic and Financial Crimes Commission (EFCC) or the Nigerian Police. Providing detailed evidence, such as transaction records, can help authorities investigate.
- Legal Action: Victims can join forces to file a class-action lawsuit against CBEX’s operators. Engaging a lawyer experienced in financial fraud cases is crucial.