Thousands of traders across Africa have been left reeling after an online trading platform collapsed, vanishing with their money, in the millions.
Crypto Bridge Exchange (CBEX), the company at the centre of the scandal, is accused of operating a Ponzi scheme that promised investors a 100 percent return within 30 days.
When users attempted to withdraw their money, the company failed to honor requests and abruptly shut down its physical offices, amid mounting complaints.
According to investigations, the trading company presented itself as a legitimate digital asset trading platform under various names, including ST Technologies International Ltd, and Smart Treasure/Super Technology.
It allegedly lured unsuspecting investors by promoting false guarantees of quick profits.
Public outrage has intensified in recent days, with angry investors in both Nigeria and Kenya storming and looting CBEX premises after discovering they had been duped.
The commission said it is working with law enforcement agencies to take legal action against CBEX, its affiliates, and promoters. The incident has sparked an uproar on social media, where users have been sharing their losses and frustration.
“Me, USD 200—but I collected all my friends’ money, all the money, which was like USD 1, 000,” said Bola, an investor in Nigeria, who claimed she had lost her entire life savings. A viral video shows her weeping outside the CBEX office.
Nigerian authorities had previously flagged 58 companies operating illegally in the country’s investment space, yet CBEX managed to evade scrutiny until it collapsed. By Ronald Kipruto, The Standard
