The Economic and Financial Crimes Commission (EFCC) has reiterated that it warned Nigerians about investing in Ponzi schemes before the collapse of CryptoBank Exchange (CBEX), a digital trading platform that allegedly defrauded investors of N1.3 trillion.
CBEX reportedly crashed on Monday, leaving many Nigerians unable to access their funds. Several videos circulating online have shown distressed investors lamenting their losses.
Speaking on Channels Television’s The Morning Brief on Wednesday, EFCC spokesperson Dele Oyewale emphasized that the agency had taken proactive steps to educate the public about fraudulent investment schemes.
“You’ll recall that on March 11 this year, the Executive Chairman of the EFCC, Mr. Ola Olukoyede, had cause to instruct us to alert Nigerians about 58 Ponzi scheme companies; we came out with a list–that shows that we’re proactive and we have our hands on what is happening,” Oyewale stated.
He added that the commission had been actively working on the CBEX case even before receiving public complaints.
“So, concerning this CBEX thing, we’re on it; it’s not that we didn’t know, and you know we’ve been alerting Nigerians about ways and means to separate themselves from this type of shenanigans. So, before the calls came, we were working; while the calls were coming, we were working, and even after the calls, we’re still working.”
Oyewale explained that CBEX is a Chinese-owned digital trading company with no official presence in Nigeria.
“We cannot lay any blame on the EFCC concerning this CBEX thing. I’m sure we know that that business venture is a Chinese digital trading company with no jurisdictional link with Nigeria; all the area offices that people are saying are in Ibadan and in some other locations are not functional offices. The entire thing is online.”
He pointed out that the EFCC had consistently warned Nigerians about fraudulent online schemes.
“And we have been warning Nigerians against criminal engagements online. So, what would you expect the EFCC to do? We have given empowerment, given enlightenment, given public awareness, and raised intelligence.”
Oyewale highlighted that the EFCC Chairman had previously listed 58 suspicious companies, urging Nigerians to avoid them.
“It is to the credit of the EFCC chairman that he came forward to say that there are 58 companies that Nigerians are patronising that they should no longer patronise. So, if the commission is as proactive as that, then the rest is for the people concerned to be more vigilant and to ensure that they guard their investment in line with the information that is available.”
The EFCC spokesperson also emphasized that the newly enacted Investment and Security Act 2025 criminalizes unregulated digital trading.
“With the Act, it is a criminal thing to engage in any digital trading activity without being licensed, without complying with all the extant laws, as any form of exchange or business engagement must conform with the Act.”
He urged Nigerians to be skeptical of investment schemes that promise unrealistic returns.
“We know that for every business concern, you declare your profit either quarterly, annually or bi-annually, but if somebody says, ‘Bring your money; I’m going to give you a return in 30 days,’ you know that is not realistic; it’s just not pragmatic.”
He added: “Or if somebody says if you bring your money, we’re going to give you a 100% return on investment, that is not possible; even we know that the prevailing interest rate in Nigeria is 27.5. So, how will somebody give you a 100% return on investment in 30 days?”
Oyewale advised Nigerians to check whether investment firms comply with financial regulations before putting their money into such ventures.
“So if you want to go into any investment, you must look at these fellows that are parading this: how compliant are they with the Money Laundering Prevention and Prohibition Act 2022? How compliant are they with the Proceeds of Crime Act? How compliant are they with the Terrorism Financing Act? It is very important.”
He warned that companies operating outside these legal frameworks were bound to collapse.
“Now, if they’re operating at variance with all of these laws, you know that it’s just a matter of time before a problem will come.”
Despite the warnings, Oyewale assured that the EFCC is actively working to recover funds and bring the culprits to justice through international collaboration.
“It would be very irresponsible and unprofessional of the EFCC to say you have lost your money and there is nothing the commission can do about it; we’re already working with Interpol and we’re already working with our international development agencies to ensure that these people are brought to book.”
He assured investors that efforts were being made to recover their lost funds.
“Investors are going to get their money back and we’re already working on that. All I’m saying is that this kind of thing could have been averted, but we’re not going to throw our hands up helplessly to say that there’s nothing the EFCC can do about it. No, we’re more responsible; we are more professional than that.”
According to him, the EFCC has launched a global effort to track down those responsible for the fraud.
“So, we’ve spread our wings; we’re talking to Interpol, we’re talking to all the necessary agencies across the world to be able to bring all the actors to book and the investors are going to have their money back. It might not be in the short term, but I can assure you that the commission, as the leading anti-corruption agency in Nigeria, is not going to allow investors to just lose their money like that because they are not compliant. No. Escapism is not a solution to any problem.”
The EFCC maintains that it had issued multiple warnings about fraudulent digital investment schemes like CBEX. While the commission is working to track the perpetrators and recover investors’ funds, it has urged Nigerians to exercise greater caution before putting their money into any financial scheme.
Efforts to contact CBEX officials for a response have so far been unsuccessful.
