CBEX Crash and the Greed Trapping Many Nigerians
By Abubakar Musa Idris,
On April 15, CBEX—one other within the lengthy, dreadful line of Ponzi schemes—folded, sending shockwaves via Nigeria’s fragile monetary panorama.
The corporate’s collapse left behind a path of heartbreak, with over ₦1.5 trillion of traders’ funds misplaced in what’s quick changing into a recurring tragedy—one enabled, and in some ways sustained, by the persistent failure of Nigeria’s regulatory ecosystem.
This isn’t nearly one other fraudulent scheme. It’s a loud, disgraceful echo of what we have now seen earlier than. And until one thing elementary adjustments, it’s what we’ll see once more.
CBEX operated below the shadowy shell of Tremendous Know-how, a platform that lured thousands and thousands with the promise of a 50% month-to-month return on cryptocurrency investments. From the outset, it reeked of deceit.
But, no regulatory alarm bells rang. No purple tape. No intervention. Solely silence. How does an organization promise such outrageous returns, rake in trillions from unsuspecting residents, and function in broad daylight with out scrutiny from establishments just like the Financial and Monetary Crimes Fee (EFCC) or the Securities and Change Fee (SEC)?
That silence is the actual scandal. Our regulators have as soon as once more didn’t act till the injury had been completed. The story of CBEX will not be new—it’s a acquainted nightmare carrying a special identify.
It mirrors the collapse of MMM in 2016, which worn out ₦18 billion in financial savings. It follows MBA Foreign exchange Buying and selling, which vanished with ₦171 billion. Others like Nospecto, Racksterli, Twinkas, and Titan Farms all performed their half in looting from Nigeria’s poor and determined.
Collectively, they kind a sample—one which regulators refuse to interrupt. And the query continues to stare us within the face: why do Nigerians maintain falling for these traps? The solutions lie deep inside our socio-economic realities.
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With unemployment hovering previous 33%, and inflation forcing thousands and thousands beneath the poverty line, many Nigerians are left greedy at straws. In such a local weather, a promise of fast monetary reduction—even when it defies logic—turns into arduous to disregard.
However it’s not simply desperation. It’s also about ignorance. Monetary literacy in Nigeria is dangerously low. Thousands and thousands don’t perceive fundamental funding ideas. They have no idea assess threat or determine warning indicators.
And worse, the businesses tasked with defending the general public do little to teach them. 12 months after 12 months, rip-off after rip-off, nothing adjustments. The cryptocurrency sector is especially weak.
It exists in a authorized limbo—thrilling and promising, but in addition unregulated and simply manipulated. Platforms like CBEX exploit that ambiguity. They deploy shiny tech communicate and overseas terminologies to masks outdated fraud below a contemporary face.
In the meantime, our legal guidelines stay outdated, and our regulators proceed to play catch-up in a recreation they’ve by no means received. What’s extra troubling is the absence of accountability. Court docket circumstances towards previous Ponzi operators drag on endlessly with out conclusion.
Buyers by no means get better their funds. Perpetrators stroll free. The message this sends is evident: in Nigeria, monetary crime pays. This isn’t a time for beauty reforms. What we’d like is an entire overhaul of how monetary regulation is completed on this nation.
All funding platforms have to be subjected to obligatory registration and licensing. A public verification system ought to be in place to immediately authenticate any funding firm.
And past enforcement, our businesses should decide to sustained nationwide monetary education schemes—particularly tailor-made to the grassroots, the place hope usually blinds judgment.
The CBEX saga is not only a narrative of particular person loss. It’s a nationwide shame. It reveals that our establishments aren’t solely asleep however can also be complicit of their silence.
Till there’s a deliberate, brave, and systemic reform, extra Nigerians will proceed to fall prey to monetary predators in fits and tech labels. The following collapse is already brewing. The query will not be if it should occur—however when.
And until we study from CBEX and demand actual accountability, it should meet us once more—similar script, completely different title, similar damaged nation.
