Nigerian Investors Hit Hard as Massive CBEX Ponzi Scheme Unravels

Thousands of Nigerians lost millions in a fraudulent digital asset trading scheme, CBEX, which operated on a classic Ponzi model. The platform attracted investors with promises of a 100% return within 30 days through an AI-driven trading strategy and even received endorsements on state-owned media as a poverty alleviation initiative. Initial reports estimated total losses as high as ₦1.3 trillion (approximately $800 million), but independent analysis later downgraded this figure to about $12 million. The funds were reportedly held in a Tron wallet, but further investigation revealed that the wallet actually belonged to Binance’s hot wallet, linking the scam to wider network concerns. The collapse led to sudden account freezes and protests in major cities like Ibadan and Lagos. Investigations also connected CBEX to other schemes such as LWEX and PCEX, indicating a broader pattern of fraudulent activity across borders.