The Securities and Exchange Commission (SEC) confirms that Crypto Bridge Exchange under its name CBEX did not obtain registration as a Digital Assets Exchange in Nigeria.
The commission issued through a circular dated April 17, 2025 that the entity known as ST Technologies International Ltd and Smart Treasure/Super Technology operated under multiple names to deceive Nigerian investors into believing it operated as a digital asset trading platform that would provide high returns.
The SEC clearly declared that CBEX together with its sister affiliates never received approval to trade in the Nigerian capital market or to collect funds from general public investors. Commission investigations uncovered misleading promotional actions used for creating false legitimacy indicators by the entity.
Withdrawal demands from investors have gone unfulfilled by CBEX while the company has closed all physical operations thus creating widespread anxiety among affected parties.
The SEC intends to collaborate with police agencies under Section 196 of the Investments and Securities Act 2025 to file legal actions against CBEX with its associates and promoter group.
The commission warned citizens through official guidelines that they should stay away from investment systems giving unrealistic profit rates or operating recruitment platforms. The advisory urged people to check investment platform registration standing at the SEC’s website at www.sec.gov.ng/cmos before sending money.
Dr Emomotimi Agama as SEC Director General stated the commission had adopted an improved coordinated strategy to eliminate Ponzi schemes and other unregistered illegal investment systems.
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The Investments and Securities Act, 2025 provides enhanced powers to the SEC for prosecuting fraudulent operations while closing regulatory gaps in digital and virtual asset sectors per Mr. Agama.
Agama explained that the SEC supports financial innovative features but they must operate within controlled conditions which focus on investor security and market reliability.
Security and Exchange Commission has previously used its previous authority in the repealed Act to shut down Ponzi operations including Fahmzi Interbiz which led to the imprisonment of its fraudulent promoters.
Yesterday the House of Representatives issued a warning to public figures and celebrities and their influencing followers against pushing unlicensed investment opportunities. The warning occurred after CBEX suffered its collapse.
According to the spokesman of the House of Representatives Akin Rotimi the lawmakers stated that the new Investments and Securities Act(ISA) creates potential liabilities for people who promote unregistered investment schemes.
The Members of Parliament displayed serious worries about the reports indicating CBEX’s collapse because thousands of Nigerians had funds trapped inside while the financial risk reached N1.3 trillion and above.
