By Titilope Adako
The Securities and Exchange Commission (SEC) has declared that Crypto Bridge Exchange (CBEX) is not a registered digital assets exchange and warned Nigerians against investing in the platform.
In a circular issued on Thursday, SEC revealed that CBEX, which also operates under names such as ST Technologies International Ltd and Smart Treasure/Super Technology, has been soliciting investments illegally and promising unrealistic returns.
“The Commission hereby clarifies that neither CBEX nor its affiliates were granted registration by the Commission at any time to operate as a digital assets exchange, solicit investments from the public, or perform any other function within the Nigerian capital market,” the statement read.
CBEX reportedly offered investors a 100 per cent return on investment within 30 days. However, the platform is now facing allegations of fraud, including publishing fake withdrawal records and making it difficult for users to access their funds.
Preliminary investigations by SEC show that the platform carried out promotional activities to create an illusion of legitimacy, failed to honour withdrawal requests, and shut down its offices amid growing complaints.
Relying on Section 196 of the Investments and Securities Act 2025, the Commission said it would partner with law enforcement agencies to take enforcement actions against CBEX, its affiliates, and promoters.
SEC Director-General, Emomotimi Agama, said the commission is implementing a tougher enforcement strategy against unregistered and fraudulent investment schemes, commonly called Ponzi schemes.
“Promoters of CBEX will not go scot-free. The new law gives the Commission the legal backing to protect investors and restore market confidence,” Agama assured.
He stressed that while the Commission supports innovation in financial services, all innovations must be regulated to ensure investor protection and market integrity.
Meanwhile, the Federal Government has sympathised with victims of the CBEX collapse and called for collective efforts to curb the spread of Ponzi schemes in Nigeria.
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