- CBEX resumes operations despite SEC ban and EFCC probe into alleged N1.3tn fraud
- It claims the platform is insured and undergoing a UK-led financial audit to verify losses
- Previous investors must inject additional funds to restore account balances and wait until June 25, 2025, to begin partial withdrawals
The embattled cryptocurrency trading platform, Crypto Bridge Exchange (CBEX), has reportedly resumed operations despite being under investigation by Nigeria's Economic and Financial Crimes Commission (EFCC) and facing a ban by the Securities and Exchange Commission (SEC).
CBEX, which is at the centre of an alleged N1.3 trillion digital fraud scandal affecting over 600,000 Nigerians, has reopened registration, allowing new users to fund their accounts, trade, and withdraw profits without restrictions.
CBEX introduces new withdrawal options
According to internal sources, CBEX is undergoing an external financial audit and insurance verification to ascertain the actual amount lost in what has been described as a major trading failure linked to its artificial intelligence (AI) system.
The audit, reportedly being handled by UK authorities, is expected to be completed between 30 and 60 days.
In the meantime, the platform's promoters say new users are not affected by the ongoing audit and can continue trading and making withdrawals.
Additionally, a referral program has been introduced, with bonuses that are immediately withdrawable.
However, previous investors whose accounts were wiped out by the failed AI trading event on April 14 are subject to stricter terms.
These users must inject additional funds to restore access to their old balances.
For example, investors with a previous capital of $1,000 must add $100, while those with over $1,000 must contribute $200.
Gradual fund recovery for old users
CBEX sources stated that old investors would only regain partial access to their funds starting June 25, 2025, once the audit is complete.
Initially, they would be allowed to withdraw up to 50% of their capital, with the remaining amount accessible by August 25, 2025, provided they complete the necessary verification processes.
“People can now withdraw from the CBEX platform, but only new accounts can do so fully. The AI lost 100% of the funds in April, but the promoters say the platform is insured. Recovery efforts are ongoing through the insurance company,” a source explained.
Allegations and promoter rebuttals
The platform's promoters continue to deny allegations of fraud, asserting that user funds remain intact and attributing the crisis to a sophisticated AI attack.
They claim that the losses were not due to internal misconduct but a breach of the AI’s trading protocol by unknown external actors.
“The AI firewall was compromised in an organized, premeditated action, not by a lone individual. That’s why only users who didn’t activate hosting survived. The UK government is investigating and will release a report soon,” an admin named Laura said in an official Telegram group.
She added that the incident had significant online ramifications and that compensation claims were already being processed for verified users through an insurance firm affiliated with CBEX’s ST Fund partner.
SEC and EFCC maintain warnings
Despite CBEX’s ongoing activities, Nigerian regulators remain firm in their stance against the platform.
The SEC has reiterated its ban and cautioned Nigerians against investing in schemes offering unrealistic returns. Meanwhile, the EFCC has declared eight individuals wanted for promoting CBEX and continues its investigation into the alleged multi-trillion naira fraud.
CBEX insists it is legally registered in the United Kingdom, with operations extending to Nigeria, Kenya, South Africa, and Egypt.
The company’s representatives argue that the actual amount lost is significantly less than reported, claiming the figure is closer to N126 billion.
As regulatory scrutiny intensifies and legal proceedings continue, CBEX’s bold move to relaunch and attract new investors while resolving past controversies remains a high-stakes gamble in Nigeria’s volatile digital trading space.
CBEX investors will get their money back, EFCC assures
Meanwhile, TheRadar earlier reported that the Economic and Financial Crimes Commission (EFCC) assured that individuals who invested in the recently crashed CBEX digital trading platform will get their money back.
The commission’s spokesperson, Dele Oyewale, noted that the agency was already working with Interpol and other international agencies to ensure the operators of CBEX are brought to book.