The Securities and Exchange Commission (SEC) in Nigeria has been unable to assist approximately 600,000 Nigerians who lost funds in the CBEX scam, where the platform vanished with around ₦1.3 trillion last week. CBEX, posing as a legitimate digital asset-trading company, deceived investors with promises of 100% returns in 30 days, later proving to be a Ponzi scheme.
SEC’s investigation reveals that CBEX engaged in aggressive marketing, exploiting aliases like Smart Treasure and Super Technology to masquerade as a credible entity. Despite their efforts, the SEC emphasised that neither CBEX nor its affiliates were registered, stressing the importance of public scrutiny. Dr. Emomotimi Agama advises caution against too-good-to-be-true investments. Read more
- Key Takeaways:
- Approximately 600,000 Nigerians were scammed by CBEX, losing ₦1.3 trillion.
- CBEX falsely promised 100% returns in 30 days, a typical Ponzi scheme trait.
- The SEC is collaborating with law enforcement for enforcement actions against CBEX promoters.
Are you aware of other instances in Lagos news or Abuja news where similar investment scams have occurred? Let’s discuss how the public can better protect themselves against these fraudulent schemes.
