- CBEX Collapse: The digital asset trading platform CBEX has reportedly crashed, with investors losing access to their funds, estimated to be around N1.3 trillion.
- Withdrawal Issues: CBEX has locked its Telegram channels and postponed withdrawals, offering investors a limited withdrawal option after paying verification fees.
- Expert Analysis: Cryptocurrency expert Taiwo Owolabi believes the invested funds are gone, and the platform’s operational model resembles a Ponzi scheme.
The CBEX platform, which promised a 100% Return on Investment in 30 days, has been under scrutiny for its operational model and allegations of fraud. According to Owolabi, the platform’s website was designed to look like legitimate trading platforms, but it was actually a weak website created to convince people it was a security breach that affected them.
Fund Movement: Owolabi explained that when users made payments, they were paid into a TRX account, and then immediately moved to another wallet, gathered, and converted to USDT and then to ETH.
Fake Trading Activities: He stated that the daily trading activities on the platform were fake, and the numbers displayed in users’ accounts were not reflective of actual funds.
Ponzi Scheme Allegations: Owolabi believes that CBEX operated a Ponzi scheme, using new investors’ money to pay earlier ones, and that the platform’s collapse was inevitable.
The collapse of CBEX has left many investors unable to access their funds, with some speculating that it may be a Ponzi scheme. Investors are advised to be cautious and do their due diligence when investing in digital asset trading platforms.
