Nigeria is shaken: six individuals now face arrest over a massive crypto scam that drained investors of more than $1 billion!
🔹 The Billion-Dollar Fraud: Sweet Promises, Bitter Reality
The platform Crypto Bridge Exchange (CBEX) lured investors with promises of up to 100% returns, hiding a sophisticated trap behind these unrealistic promises.
The Federal High Court in Abuja has now issued arrest warrants for six key players — Adefowora Olanipekun, Adefowora Oluwanisola, Emmanuel Uko, Seyi Oloyede, Avwerosuo Otorudo, and Chukwuebuka Ehirim.
🔹 How the CBEX Scam Operated
According to the Economic and Financial Crimes Commission (EFCC), the scam was run through ST Technologies International Limited.
This company, which never obtained proper authorization, convinced thousands to entrust their money into the fraudulent platform.
CBEX promised quick riches but instead:
Restricted withdrawals starting in April 2025.
Demanded additional deposits for "account verification."
Prepared to vanish with investors' funds.
🔹 Court Steps In: Arrest Warrants and Global Manhunt
Judge Emeka Nwite approved arrest warrants and detention orders.
The EFCC is now working with Interpol and other international agencies to capture all suspects and recover stolen funds.
🔹 Red Flags That Were Ignored
Investigations revealed that CBEX:
Was never licensed by the Securities and Exchange Commission (SEC).
Only had basic business registration, not authorization for investment operations.
Misused an anti-money laundering certificate (SCUML) to appear legitimate.
Investors noticed trouble too late — when withdrawals were blocked and new deposits demanded.
🔹 New Era: Nigeria Tightens Crypto Regulation
Scandals like CBEX led to major reforms:
In April 2025, Nigeria passed a new Investment and Securities Act (ISA).
Cryptocurrencies are now officially recognized as securities.
Crypto service providers must be registered and regulated by the SEC.
Harsh penalties are in place: up to 10 years in prison or a 20 million naira fine for promoting unregistered schemes.
🔹 Nigeria: Crypto Powerhouse in a Dangerous World
Nigeria is now the second-largest holder of cryptocurrencies globally — just behind the USA.
But with rapid growth comes increased risk.
The new legal framework aims to protect investors and encourage healthy development in the digital asset market.
🔹 Final Warning: Investors Beware
The CBEX scandal is a stark reminder: when returns seem too good to be true, they usually are.
Nigeria is raising its defenses — but investors must stay vigilant: trust, but verify!
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