Nigerian Investors in Turmoil as CBEX Investment App Locks Users Out

Frustrated Nigerians are expressing their agony on social media after being unable to access their accounts on the investment platform CBEX, amid a crisis that evokes painful memories of past financial schemes.

Anger has swept over Nigeria as numerous investors find themselves locked out of their accounts on the CBEX digital investment platform, leading to fears that their savings may be irretrievably lost. Many distraught individuals took to social media to share heartbreaking videos, voicing their concerns about being unable to withdraw their funds while speculating that their money has vanished.

The crisis escalated when an agitated crowd stormed a CBEX office in Ibadan, a city in southwestern Nigeria, resulting in the theft of office equipment, including furniture and a solar panel. Despite the chaos, CBEX has not issued an official response to the situation.

The platform attracted investors by promising extraordinary returns, with claims that they could double their investments monthly — an enticing prospect in Nigeria's current challenging economic environment, where people are eager for ways to increase their earnings. One affected investor, identified as Ola, lamented about potentially losing 450,000 naira (approximately $280), expressing regret for not withdrawing his funds just a week before the crisis unfolded.

Others have reported even more significant losses, including one individual who stated they lost $16,000. Alarm bells were first raised over the weekend, but urgency and anger peaked after it became clear that users were still unable to access their investments by Monday.

Some customers attempted to reach out to CBEX through Telegram, where they received responses claiming that the issue was caused by a hack and would soon be resolved. Nigeria's Securities and Exchange Commission (SEC), the body responsible for regulating the investment sector, has not yet commented on the situation. However, they have previously warned the public about the inherent risks associated with unregulated digital platforms that may resemble Ponzi schemes.

This current ordeal is reminiscent of the 2016 crisis linked to the popular financial scheme MMM, which similarly froze transactions and left countless investors devastated. At its height, MMM boasted up to three million members, all enticed by promises of 30% returns within just 30 days before ultimately collapsing.