CBEX Implodes: $847 Million Exit Scam Exposes Nigeria’s Fastest Growing Crypto Fraud [VIDEO]

 

In what is now being recognized as one of the most audacious cryptocurrency exit scams in recent Nigerian history, CBEX — a self-proclaimed AI-powered trading platform promising 100% ROI in just 30 days — has officially collapsed. The platform’s sudden disappearance has left users reeling, their dashboards reading zero balances, and more than $847 million reportedly siphoned into private Ethereum wallets.

The unraveling began in earnest today, when users noticed their funds had mysteriously disappeared from their CBEX accounts. A staggering $822,852,811.66 — equivalent to ₦1.3 quadrillion Naira — was transferred into a single Ethereum wallet, sparking panic, outrage, and widespread calls for accountability. As of now, reports indicate the stolen sum has ballooned to $847 million, with transactions still being traced.

The timing was no coincidence. For many users, the disappearance occurred the moment they made a deposit, suggesting the platform had no real intent to ever safeguard or grow those funds. In fact, the entire infrastructure appears to have been a smoke screen.

Smoke, Mirrors, and Telegram Locks

The warning signs had always been there, albeit cleverly masked. CBEX’s Telegram channels — once brimming with activity and fake testimonials — have now been locked. Withdrawals, once promised within minutes, have been indefinitely “postponed.” Instead, a new condition has emerged: users must pay a “verification fee” to access their already trapped funds.

Here’s the breakdown:

• If you invested over $1000, you must now pay $200 for “identity verification.”

• If your stake was under $1000, the verification fee is $100.

This, according to CBEX’s latest message, is due to a so-called “security breach” — an ironic excuse considering the platform was never secure to begin with. The verification payment, they claim, will be used to “authenticate” users and re-enable withdrawals.

However, crypto analysts and cybersecurity experts have unmasked this for what it truly is: another layer of the Ponzi scheme, a desperate attempt to keep the scam alive by recycling new deposits into payouts for older users.

Anatomy of a Digital Ponzi Scheme

CBEX marketed itself as an AI trading bot that guaranteed absurd returns of 100% in 30 days — a red flag by all investment standards. But what truly sealed its fate as a scam was the behind-the-scenes operations.

According to security analyst Taiwo Owolabi, CBEX’s platform had no real trading functionality. When users deposited funds, they were sent to a TRX (Tron) wallet, then immediately laundered through USDT and moved to ETH wallets. What users saw in their dashboards were mock balances — fabricated figures that gave the illusion of daily earnings, simulated trades, and consistent profit.

In truth, no trading ever occurred. Withdrawals were funded using money from new deposits — classic Ponzi mechanics. The “AI trading” was entirely fictional, designed only to keep victims engaged and reinvesting.

As Owolabi demonstrated in a widely shared video, the movement of funds from the TRX wallet to the ETH wallet was swift and efficient — all pointing to a meticulously planned exit. The Ethereum address involved — TDqSquXBgUCLYvYC4XZgrprLK589dkhSCf — is now under close scrutiny by blockchain forensic experts.

False Hope and Final Milking

What makes CBEX’s collapse particularly cruel is its final twist: giving investors false hope in the form of a last-minute “verification” scheme. Victims desperate to recover their money are being told to pay yet again — a move experts believe is designed to extract one final cash injection before the perpetrators disappear completely.

Whether or not any of the stolen funds can be recovered remains uncertain. Crypto tracing is possible, but extremely expensive, and CBEX was never licensed to operate as a financial or trading platform. Its website, built to mimic established platforms like ByBit, lacked even basic security features — an intentional choice, some say, to delay detection.

The tragedy lies not just in the money lost, but in how the scam leveraged greed, trust, and misinformation to prey on thousands. CBEX’s downfall is now being seen as a painful reminder that no legitimate trading platform guarantees 100% returns, and that due diligence in the crypto space is more vital than ever.

The only thing more staggering than the amount stolen is how easily it was done. 

Click here to watch video on how they moved the money