ABUJA, Nigeria (VOICE OF NAIJA)- The Securities and Exchange Commission (SEC) has reiterated its stance on the legality of investment and digital asset platforms, issuing a fresh warning to Nigerians that any platform not registered with the Commission is operating illegally.
This alert follows the alleged collapse of digital investment platform CBEX, amid reports suggesting that investors have lost over N1.3 trillion.
Users of the platform reportedly encountered persistent withdrawal issues before their account balances were wiped entirely.
Since then, CBEX has locked its Telegram channels and suspended withdrawals. In a last-ditch effort, the platform is reportedly offering a so-called lifeline of “$2,000 for $200 verification” and “$1,000 for $100 verification.”
When contacted, Head of External Relations at SEC Nigeria, Efe Ebelo, referenced the newly enacted Investments and Securities Act 2025, emphasizing that it empowers the Commission to take decisive action in such matters.
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Citing the SEC Director-General, Dr. Emomotimi Agama, she stressed that the Act sets out comprehensive rules and mandates registration for digital asset platforms to ensure transparency and trust.
This framework, she noted, “allows the SEC to crack down on illicit activities, such as Ponzi schemes, pump and dump tokens, and unregistered exchanges, creating a safer environment for investors. It is important that even for celebrities, we must be cautious about what we do. Becoming influencers or introducing meme coins that do not mean well for the generality of Nigerians is not going to be tolerated.”
She added, “The ISA 2025 is intended to promote FinTech growth and innovation, specifically within the digital asset space, while ensuring regulatory compliance. However, I want to say this very clearly: if it is not registered, it is illegal. The law will be enforced. Therefore, everyone that is going to be involved in this space must endeavour to fulfil the requirements of the law.”
Meanwhile, a video circulating on social media on Tuesday showed a group of people ransacking the CBEX office in the Oke Ado area of Ibadan, Oyo State.
Eyewitnesses claimed the group stormed the premises and made away with office equipment including tables and couches.
CBEX, which claimed to offer a 100 per cent return on investment within 30 days, had gained traction in Nigeria in 2024.
Though its full name, China Beijing Equity Exchange, suggested ties to a legitimate Chinese entity, reports now confirm that CBEX had no affiliation with the real organization and only began operating in Nigeria recently, contradicting its stated founding year of 2017.