Business
CBEX: Nigerians Blame Government for Losses
…Investors Loot, Vandalize Firm’s Property
Nigerians who lost their life savings and investments to the now-defunct China Beijing Equity Exchange (CBEX) are in anguish, reeling from the impact of yet another collapsed Ponzi scheme.
The emergence and operations of CBEX in Nigeria have reignited controversy over the persistent failure to prevent such fraudulent schemes, despite decades of warnings and previous experiences.
As has happened time and again, Nigerians have lost trillions of naira and countless assets to schemes like CBEX and its predecessors. The financial devastation has left many victims hopeless, with some reportedly contemplating suicide as their means of survival were wiped out.
The scale of the CBEX collapse appears to surpass infamous schemes such as MMM, MBA Forex, Pemy Wise, Wealth Solution, Got Alert, Cheese Way Online, and Signet Dwellers, among others. CBEX reportedly entered Nigeria over a year ago, luring unsuspecting investors with mouth-watering returns and no warning signs of impending doom.
Who Is to Blame?
The big question on everyone’s lips now is: who is responsible?
While many Nigerians who spoke with Business Hallmark blamed the government and its regulatory agencies for failing to protect the public, others pointed fingers at citizens themselves for falling prey to get-rich-quick schemes. Critics argue that despite previous losses, some Nigerians continue to chase unrealistic profits without due diligence.
Those who blame the government say the authorities displayed gross negligence and allowed CBEX to thrive despite existing laws meant to prevent such operations. The Securities and Exchange Commission (SEC) only declared CBEX illegal after its collapse, citing its lack of registration under the newly signed Investment and Securities Act 2025—a move critics say came far too late.
Similarly, the Economic and Financial Crimes Commission (EFCC) has come under fire. Though the Commission claimed it had earlier warned the public about over 58 Ponzi schemes operating in Nigeria, critics argue that issuing warnings is not enough. They believe the EFCC failed in its duty to proactively clamp down on illegal platforms like CBEX.
In the wake of the crash—where over N1.3 trillion was reportedly lost—EFCC spokesperson Dele Oyewale announced that investigations are underway in collaboration with INTERPOL to track the perpetrators. He reiterated that CBEX was not licensed and violated the provisions of the 2025 Investment and Securities Act.
However, many Nigerians see this as a weak defense. An elderly man who resides near CBEX’s Ibadan office expressed disbelief at the EFCC’s “flimsy excuses,” saying they failed to act swiftly when it mattered.
Government Lapses
Another witness, Tajudeen Jimoh, who was present during the chaos at CBEX’s Ibadan office, also blamed the government. He described the scene where devastated investors looted the company’s office in anguish and claimed the Nigerian legal system lacks the strength to protect citizens from such fraudulent schemes.
Jimoh criticized the EFCC for what he saw as selective enforcement, saying the Commission often goes after small-time Nigerian offenders while overlooking more organized, foreign-backed scams. He suggested that powerful individuals in high places may have shielded the operators from scrutiny.
He called on the government to immediately ban similar investment schemes and hunt down both foreign and local collaborators involved in CBEX’s operation.
Although the fallout has been nationwide, Lagos reportedly has the highest number of affected investors. In Ibadan, notable figures were said to be victims, including popular Fuji musician, Taiye Currency, who allegedly lost N20 million.
Looted Office
CBEX’s Ibadan office, located inside City Mall near Oke Ado APC Mosque and opposite a Catholic Church, remains deserted. The office was ransacked and vandalized by angry investors who lost their savings. Furniture, electronics, and other valuables were looted in the chaos.
Security was initially beefed up in the area following the incident but had been reduced to three Amotekun operatives at the time of Business Hallmark’s visit. Witnesses said the looting was later hijacked by hoodlums, who emptied several offices and shops inside the mall.
In Lagos, a similar scene unfolded at CBEX’s office located at Seliat Bus Stop in the Egbeda-Idimu area, where angry investors besieged the premises in protest.
Too Good to Be True
CBEX had rebranded itself as an AI-powered cryptocurrency trading platform, promising investors 100 percent monthly returns on digital asset transactions. The platform operated smoothly for a while, fueling confidence—until it suddenly collapsed. By the time investors rushed to its offices for answers, the operators had vanished.
The collapse has sparked fresh calls for tighter regulation, more proactive enforcement, and stronger legal frameworks to prevent future exploitation of unsuspecting Nigerians.