EFCC recovers portion of funds from CBEX Ponzi scheme

….EFCC Chairman declined mentioning specific  amount from estimated N1.3 trillion loss

The Economic and Financial Crimes Commission (EFCC) has begun recovering funds lost by Nigerian investors in the collapsed digital Ponzi scheme, Crypto Bridge Exchange (CBEX), according to Ola Olukoyede, EFFC Chairman.

Olukoyede revealed that the EFCC apprehended several individuals linked to the scam, while efforts continue to trace others who are currently evading capture.

According to him, a portion of the misappropriated money has been retrieved, but he however declined to specify the amount due to the sensitive and ongoing nature of the recovery operation.

“We’re being cautious about disclosing too much detail so as not to jeopardise the process. We still have several persons on our wanted list,” he added.

CBEX, a cryptocurrency investment platform run by foreign nationals with local collaborators, abruptly collapsed in April 2025, leaving thousands of Nigerians unable to access their funds. Reports estimate investor losses to be as high as N1.3 trillion.

“We have made significant progress on the CBEX case. A reasonable sum has already been recovered,” he stated.

Read also: The Ponzi pandemic: How schemes like CBEX are undermining Nigeria’s financial system

Challenges of converting crypto assets

The EFCC boss highlighted the technical challenges associated with converting recovered cryptocurrencies back into fiat currency, particularly US dollars.

“These funds were stolen in crypto form, and retrieving the equivalent value in cash involves complex processes. You cannot convert crypto to dollars without going through the same channels used to extract the funds,” he explained.

Olukoyede added that the Commission has been engaging with relevant stakeholders and investigating numerous digital wallets as part of a wider operation.

Shedding light on how the fraudulent operation was carried out, Olukoyede said CBEX enlisted Nigerians to register unsuspecting clients and create credibility through promotional events.

“Many of the principal actors were foreigners who recruited locals to act as intermediaries. From our investigation, we are beginning to understand who knew what, and when,” he said.

“They organised seminars and conferences to build public trust. In fact, we have video evidence of these events, where professionals, including a PhD holder in capital markets, were invited to lend credibility.”

Read also: IGP launches anti-money laundering units to tackle financial crimes

CBEX’s collapse and deception

CBEX promised investors 100 percent returns within 30 days through an online trading platform.

On April 9, the platform suddenly suspended withdrawals. While many users initially assumed it was a technical glitch, their account balances soon vanished.

In a further twist, users were instructed to deposit an additional

$100 to regain account access. Investors with balances exceeding

$1,000 were asked to deposit at least $200, in a move which only deepened suspicions and widened the losses.

As the EFCC continues its investigation, Olukoyede urged the public to remain vigilant and avoid high-return schemes that operate without regulatory oversight.