In a shocking blow to investors, Dr. Emomotimi Agama, Director General of the Securities and Exchange Commission (SEC), has confirmed that the agency is unable to provide restitution to approximately 600,000 Nigerians impacted by the massive Crypto Bridge Exchange (CBEX) fraud. The scheme, orchestrated by ST Technologies International Ltd, disappeared last Monday, wiping out an estimated ₦1.3 trillion in public investments. Here’s a closer look at the scandal and the SEC’s response.
The CBEX Collapse: A Devastating Scam
The Crypto Bridge Exchange (CBEX) lured thousands of Nigerians with an irresistible promise: double your investment in just 30 days. Marketed as a legitimate cryptocurrency platform, CBEX gained widespread trust before abruptly vanishing, leaving investors in financial ruin. The scam, now exposed as a Ponzi scheme, has sparked outrage across the country, with victims grappling with losses totaling ₦1.3 trillion.
SEC’s Hands Are Tied
In an interview with Sunday Vanguard, Dr. Agama expressed profound sympathy for the victims but clarified that the SEC is powerless to offer financial relief. “There is nothing the Commission can do,” he stated, explaining that CBEX operated under the radar, evading regulatory oversight until it was too late. The agency was not alerted to the scheme’s activities in time to intervene, highlighting a critical gap in early detection.
A Call for Vigilance
Dr. Agama emphasized the importance of public cooperation in preventing such frauds. “We are intensifying our public awareness campaigns and encouraging people to speak up early,” he urged. He called on Nigerians to report suspicious investment schemes promptly to enable the SEC to take swift action. The Director General stressed that early detection is key to dismantling fraudulent operations before they can inflict widespread harm.
Warning Against “Too Good to Be True” Schemes
Citing the Investments and Securities Act of 2025, Dr. Agama warned that promises of unusually high returns, like those offered by CBEX, are hallmark traits of Ponzi schemes. He advised Nigerians to exercise caution and skepticism when approached with investment opportunities that seem too good to be true. “If it sounds unrealistic, it probably is,” he cautioned, urging investors to verify the legitimacy of platforms before committing funds.
Moving Forward: Protecting Nigerian Investors
The CBEX scandal has exposed vulnerabilities in Nigeria’s investment landscape, prompting renewed calls for stronger regulatory measures and public education. While the SEC works to bolster its awareness campaigns, the loss of ₦1.3 trillion serves as a stark reminder of the risks posed by unregulated schemes. Dr. Agama’s message is clear: vigilance and timely reporting are critical to safeguarding the public from future scams.
As the fallout from CBEX continues to unfold, affected Nigerians are left seeking answers, while the SEC doubles down on its mission to protect investors through education and early intervention.
Stay informed and report suspicious schemes to the SEC to help prevent future fraud.
