Introduction
On April 17, 2025, the Securities and Exchange Commission (SEC) of Nigeria issued a stern warning regarding Crypto Bridge Exchange (CBEX), a digital asset trading platform that has been operating without the necessary registration. The SEC’s statement highlighted that CBEX, also known by aliases such as ST Technologies International Ltd and Smart Treasure/Super Technology, falsely presented itself as a legitimate digital asset trading platform offering high returns to Nigerian investors.You know about CBEX Nigeria SEC Warning,theglobespot, openrendz and Buzzfeed.
SEC’s Findings and Actions
The SEC’s investigation revealed that CBEX had been engaging in misleading promotional activities to create a false sense of legitimacy. The platform failed to honor withdrawal requests from investors and subsequently shut down its physical offices, leaving many victims in distress. In response, the SEC announced plans to collaborate with relevant law enforcement agencies to pursue enforcement actions against CBEX, its affiliates, and their promoters, citing Section 196 of the Investments and Securities Act 2025.You know about CBEX Nigeria SEC Warning,theglobespot, openrendz and Buzzfeed.
Legal Framework: Investments and Securities Act 2025
The newly enacted Investments and Securities Act 2025 has significantly strengthened the SEC’s authority to prosecute fraudulent operations and close regulatory gaps, especially in the digital and virtual asset sectors. Under this law, promoters and operators of Ponzi schemes face penalties, including fines of at least N20 million and jail terms of up to 10 years, or both, upon conviction. The Act also empowers the SEC to recover illicit profits made from defrauding Nigerians. National Daily Newspaper+6The Times+6Vanguard News+6Fintech Magazine Africa+1Vanguard News+1
SEC’s Advisory to Investors
In light of recent events, the SEC issued a public advisory urging Nigerians to avoid investment platforms that offer implausible returns or use recruitment-based schemes.You know about CBEX Nigeria SEC Warning,theglobespot, openrendz and Buzzfeed. The Commission emphasized the importance of verifying the registration status of such platforms on the SEC’s official portal at www.sec.gov.ng/cmos before committing funds.You know about CBEX Nigeria SEC Warning
Legislative Support: House of Representatives’ Stance
The House of Representatives has also weighed in on the issue, cautioning public figures, celebrities, and influencers against promoting unregistered investment schemes.CBEX Nigeria SEC Warning. The lawmakers highlighted that under the new Investments and Securities Act, promoting such schemes could attract liability against anyone found wanting. They expressed deep concern over reports of CBEX’s collapse, which had reportedly trapped funds belonging to thousands of Nigerians, with financial exposure estimated to exceed N1.3 trillion.You know about CBEX Nigeria SEC Warning
Conclusion
The SEC’s actions against CBEX underscore Nigeria’s commitment to safeguarding investors and maintaining the integrity of its capital markets. With the enhanced powers granted by the Investments and Securities Act 2025, the SEC is better equipped to tackle fraudulent investment schemes and protect the interests of Nigerian investors.You know about CBEX Nigeria SEC Warning,theglobespot, openrendz and Buzzfeed.
