The embattled Crypto Bridge Exchange (CBEX), under intense scrutiny for allegedly defrauding over 600,000 Nigerians of N1.2 trillion, has resumed operations despite being banned by the Securities and Exchange Commission (SEC) and probed by the Economic and Financial Crimes Commission (EFCC). In a surprising turn of events, the platform has announced new withdrawal options and reopened registrations—moves that appear aimed at restoring investor confidence amid a storm of regulatory crackdowns and public outcry.
Multiple traders confirmed on Wednesday that CBEX has quietly returned to full functionality, with new users able to open accounts, trade, and withdraw profits. This development comes as CBEX is undergoing an external audit and insurance verification in the United Kingdom, expected to conclude by June 25, 2025. The audit seeks to verify the scale of investor losses, with CBEX officials disputing claims of a N1.2tn shortfall, alleging instead that losses were closer to N126bn.
Founded in 2024 and registered with Nigeria’s Corporate Affairs Commission (CAC), CBEX initially gained popularity by offering a staggering 100% return on investments within 30 days via artificial intelligence-powered trading. However, it collapsed on April 14, 2025, when the AI allegedly suffered a complete trading loss, wiping out user accounts.
The SEC has categorically declared CBEX’s operations illegal, while the EFCC has launched a full-scale investigation. In connection with the ongoing fraud probe, eight individuals have been declared wanted, including top promoters like Adefowora Olanipekun and Israel Mbaluka. One, Adefowora Abiodun, has voluntarily surrendered for questioning.
On Wednesday, the EFCC escalated the crackdown by declaring Elie Bitar, a foreign national allegedly involved in the fraud, wanted. Bitar is accused of orchestrating aspects of the crypto fraud from Lekki Phase 1, Lagos.
The anti-graft agency confirmed that it is working with international authorities, including UK regulators, to uncover the full extent of the fraud. Meanwhile, the Nigerian Financial Intelligence Unit (NFIU) has flagged CBEX and similar platforms, warning citizens against Ponzi-like schemes that promise unrealistic returns.
In a controversial move, CBEX now allows previous investors to restore their account balances by injecting new funds: $100 for those with prior investments below $1,000, and $200 for those above. Users claim these deposits enable trading, though withdrawals remain restricted pending the UK audit.
A source told our correspondent, “New accounts can trade and withdraw immediately. But for old accounts, the funds are under review. From June 25, 50% of the capital will be withdrawable, and the rest by August—if the investor completes the insurance verification.”
Administrators argue that CBEX’s losses were caused by a coordinated cyberattack on its AI system, not mismanagement or fraud. “This was not just an AI glitch—it was a targeted breach,” claimed one admin known as Laura in a Telegram group for users. She added that the UK’s ongoing investigation will validate CBEX’s innocence, despite rising skepticism among affected investors.
In its latest advisory, the NFIU also listed several high-risk platforms including WWCoin (TOFRO), Delux, eWealth Connect, and ADK. These platforms exhibit classic Ponzi traits such as:
Guaranteed daily returns (up to 6% per day),
High withdrawal fees,
Aggressive referral incentives,
Lack of regulatory oversight.
For instance, ADK was flagged for relying on a multi-level agent system and earning from user losses, while WWCoin lures investors with daily trading signals and impossible profit margins. The NFIU warned Nigerians, especially students and freelancers, to verify all platforms and consult certified financial advisors before investing.
The SEC has reminded the public that registration with CAC or the EFCC’s Special Control Unit Against Money Laundering does not legitimize any investment scheme. SEC Director-General Emomotimi Agama emphasized that only SEC-licensed platforms are permitted to offer investment services to the Nigerian public.
As CBEX attempts to reinvent itself amid a flurry of regulatory scrutiny and public distrust, its future remains uncertain. Investors are urged to remain vigilant and report suspicious platforms to authorities. Despite its relaunch, CBEX’s legal troubles and operational credibility continue to raise red flags.