EFCC Clamps Down on N1.3 Trillion CBEX Crypto Scam: Recoveries Made, Arrests Underway
In what is shaping up to be one of Nigeria’s largest digital fraud investigations, the Economic and Financial Crimes Commission (EFCC) has made key arrests and partial fund recoveries in connection with the now-notorious Crypto Bridge Exchange (CBEX) scandal a crypto investment platform that reportedly defrauded Nigerians of over ₦1.3 trillion.
EFCC Chairman Ola Olukoyede made the revelations during a Sunday interview with TVC, declaring that “significant progress” has been made in tracing and recovering stolen funds. But the battle is far from over.
“We have gone far with CBEX. We have been able to recover a reasonable amount of money,” Olukoyede stated.
Digital Fraud, Real Pain
The CBEX crypto platform, once praised for its slick interface and mouthwatering returns, imploded in April, wiping out the savings of thousands of Nigerians. What started with delayed withdrawals quickly escalated into a full-blown crisis: locked accounts, missing balances, and complete radio silence from CBEX administrators.
The collapse drew a firestorm of outrage on social media, with many investors accusing the platform of orchestrating a carefully calculated digital heist.
Despite the backlash, CBEX recently resumed operations in a suspiciously quiet rebranding effort even offering new withdrawal options to lure fresh victims.
Tracing the Money Trail
Olukoyede admitted that recovering the stolen crypto hasn’t been straightforward. The fraudsters, he explained, used non-custodial wallets anonymous crypto wallets that don’t require identity verification (KYC), making them almost impossible to trace.
“So, from the noncustodial wallet, they moved it to some wallets in Europe, Eastern Europe particularly Cambodia and from there, they dispersed the money,” he said.
Despite these tactics, the EFCC has managed to block several wallets and recover some funds before they were fully laundered. But the technical nature of cryptocurrency transactions especially with international transfers and no intermediaries presents a daunting challenge.
Arrests Made, More on the Run
The EFCC boss confirmed that some suspects have been arrested, while others remain at large. He declined to reveal the identities or full scope of arrests to avoid compromising ongoing operations.
“We are not going to give out much because we don’t want the process to be disrupted. We are still after quite a number of people we have declared wanted,” he said.
He warned Nigerians that some CBEX operatives are still at large and even attempting to restart fraudulent activities, urging the public to remain vigilant and stop falling for deceptive crypto promises.
This case is not just about one platform. It’s a symptom of a much larger epidemic of digital investment fraud in Nigeria fueled by poor regulation, ignorance of crypto risks, and blind trust in high returns.
While the EFCC is making progress, the real defense lies in public awareness and stronger legislation to monitor and control digital finance operations.
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EFCC Clamps Down on N1.3 Trillion CBEX Crypto Scam: Recoveries Made, Arrests Underway