By Fresh Facts Correspondent
The Economic and Financial Crimes Commission (EFCC) has confirmed that funds tied to the now-collapsed Crypto Bridge Exchange (CBEX) scheme have been traced to multiple countries, in what is fast becoming one of Nigeria’s most damaging cryptocurrency frauds. EFCC Chairman, Mr. Ola Olukoyede, disclosed during a televised interview on Channels TV that assets connected to the scheme have been located in at least three to four foreign nations. However, he declined to name the countries involved.
“We have been able to trace funds to three to four countries. We have also managed to block some accounts and freeze a reasonable amount of the proceeds,” Mr. Olukoyede stated. He further revealed that the main architects of the CBEX scheme are foreigners, complicating the possibility of full recovery or prosecution.
“In fact, the principal parties behind the entire scheme are not Nigerians. Most of them are foreigners, and you know what that entails,” he added, noting the challenges of pursuing justice across borders. “I will not sit down and tell you that we are going to restore every victim. It will become practically impossible because quite a certain amount of money has been dissipated and not within our system.”
The EFCC has arrested three suspects whose confessions are reportedly assisting in ongoing investigations. Additionally, four Nigerian nationals—Seyi Oloyede, Emmanuel Uko, Adefowora Oluwanisola, and Adefowora Abiodun Olaonipekun—have been declared wanted for their alleged roles in the fraudulent scheme. The Federal High Court in Abuja has granted the anti-graft agency authority to arrest and detain six alleged promoters of the scheme, which is believed to have defrauded investors of over one billion dollars.
CBEX, which posed as a legitimate cryptocurrency trading platform, lured thousands of unsuspecting Nigerians with promises of high returns. The platform suddenly crashed last month, leaving scores of families financially devastated and sparking public outrage.
A Financial Tsunami: The Ripple Effects of CBEX on Nigeria’s Economy
Beyond the immediate pain inflicted on individual victims, the CBEX scandal underscores a deeper, systemic threat to Nigeria’s economy. The loss of over a billion dollars in a single fraud case reverberates through several layers of the nation’s financial ecosystem.
- Investor Confidence Erosion
The CBEX debacle sends a chilling signal to both domestic and international investors. In a country already grappling with economic volatility and regulatory uncertainty, such high-profile scams can reinforce negative stereotypes about Nigeria being a high-risk investment destination. - Drain on Foreign Exchange Reserves
Given that significant portions of the scammed funds were traced to foreign countries, this incident represents a direct leakage of capital out of Nigeria’s financial system. In a nation facing foreign exchange scarcity and currency depreciation, such illicit outflows aggravate economic instability. - Rise in Financial Distrust
The increasing frequency of Ponzi schemes in Nigeria is leading to growing public distrust in both conventional and digital financial instruments. This trend risks derailing progress in financial inclusion and digital economy adoption, particularly among the youth and lower-income populations who are often the most vulnerable. - Burden on Law Enforcement and Judicial Systems
Cases like CBEX stretch the already thin capacity of anti-corruption and judicial institutions. International cooperation challenges further complicate the pursuit of justice, often allowing the masterminds to evade accountability while local accomplices take the fall. - Socioeconomic Fallout
With thousands of Nigerians losing life savings, the CBEX collapse could exacerbate poverty and unemployment. For many, these scams mean the loss of school fees, retirement savings, or startup capital—leading to long-term disillusionment and economic disempowerment.
As regulatory bodies like the EFCC work to contain the fallout and strengthen oversight, there is an urgent need for stronger public education on the risks of unregulated investments. Without decisive policy intervention, the lure of quick returns will continue to blindside vulnerable citizens, with devastating consequences for Nigeria’s economic future.
