The Securities and Exchange Commission (SEC) is seeking the freezing of bank accounts belonging to Crypto Bridge Exchange (CBEX) and other defendants with commercial banks and financial institutions across Nigeria.
SEC made the request in the ongoing case IST/OA/02/2025, Securities and Exchange Commission & Anor v Crypto Bridge Exchange (CBEX) and 25 others, currently before the 6th Investments and Securities Tribunal.
The Commission also urged the tribunal to seize houses and other assets acquired by the defendants from the proceeds of public investments in the CBEX scheme.
According to SEC, CBEX is an unregistered platform that promised users an unlawful 100 percent return on investments within 30 days, violating Section 3(b) of the Investments and Securities Act 2025.
It further disclosed that on April 23, 2024, the Securities and Futures Commission of Hong Kong issued an advisory warning against CBEX, identifying it as a suspicious virtual asset company.
CBEX had adopted a name similar to a Chinese property rights trading organization with which it had no affiliation.
CBEX, launched in Nigeria around July 2024 through a website and mobile application, claimed to use advanced Artificial Intelligence (AI) to generate huge profits from crypto trading, promising returns of up to 100% within a 40- to 45-day lock-in period. It was later exposed as a Ponzi scheme, resulting in estimated investor losses exceeding N1.3 trillion (approximately $800 million).
The tribunal ordered that hearing notices be served on CBEX through national newspapers after the defendants failed to appear or be represented in court.
Hon. Aminu Jinaidu, Chairman of the Investments and Securities Tribunal adjourned further hearing to January 27, 2026.
