CBEX, a name variously interpreted as CryptoBridge Exchange or CryptoBank Exchange, was introduced to the Nigerian public in July 2024 with little fanfare but immense ambition. Within months, it gained massive traction among Nigerians desperate for financial relief, promising outrageous returns of 100 percent within 30 days. It did not take long before social media was flooded with testimonies, referral codes, and images of people celebrating newfound wealth, many claiming to have doubled or tripled their investments.
Behind the glossy façade, however, was a classic Ponzi scheme, hidden in the fast-evolving landscape of crypto trading. With no regulatory backing, opaque operations, and unrealistic profit guarantees, CBEX was always destined to collapse. But by the time it did in April 2025, the damage had already been done. An estimated ₦1.3 trillion vanished with the platform, leaving behind a trail of financial and emotional ruin.
The gamble
Many Nigerians who joined the scheme sold cars, land, jewelry, or took loans in the hope of multiplying their funds. The promise of quick returns during a period of economic hardship proved irresistible, especially with word-of-mouth referrals from friends, family, and even celebrities. But once the platform began experiencing withdrawal issues and administrators disappeared, panic set in. Social media turned from celebration to chaos as videos of victims weeping, screaming outside CBEX offices in Lagos and Ibadan, and carrying placards demanding justice painted a painful portrait of national despair.
According to cryptocurrency analyst Taiwo Owolabi, CBEX operated with sophisticated laundering methods that gave the illusion of legitimacy. He explained that user funds were converted to stablecoins like USDT and then funneled through TRX wallets to offshore locations. What investors saw on their dashboards, he said, were mere numbers, unbacked by real liquidity. “It was a digital illusion,” he said during a recent X Space discussion. “Once new deposits couldn’t meet the withdrawal demands, the platform imploded.”
Health toll
The consequences have gone far beyond the loss of money. Across various Nigerian communities, the emotional and psychological toll is becoming disturbingly apparent. Many victims now suffer in silence, battling insomnia, panic attacks, and hypertension. Some have slipped into severe depression. Reports have emerged of suicides, hospital admissions, and nervous breakdowns. These are not isolated cases—they point to a growing but overlooked health crisis tied directly to the scam.
Pharm. Oyinmidamola Omoniyi, a Lagos-based community pharmacist, has seen this firsthand. “Some victims are hospitalised, some are in pain, some are depressed—especially those who borrowed to invest. And sadly, some have even committed suicide. May the Lord ease our affairs,” she said.
She also narrated the story of a thrift collector who invested his customers’ contributions into CBEX. “Imagine the ripple effect—entire households and small businesses now affected because of one person’s desperate gamble.”
Pharm. Jonah Okotie also expressed dismay over the scam and its aftermath. “My first reaction to the CBEX issue is, why again? It’s disheartening that our people continue to fall victim to these get-rich-quick schemes. The desperation to survive makes people vulnerable to anything that promises financial relief,” he said. He believes the fallout will be both psychological and physiological.
“Many victims are likely to suffer from high blood pressure and other stress-related illnesses. Some will experience total health breakdowns. This situation will place additional pressure on our already overstretched healthcare system. We should expect to see a rise in mental health conditions like depression, mania, schizophrenia, and suicidal tendencies. In some cases, people might even develop conversion disorders, where emotional distress presents as physical illness.”
He noted that the worst effects may not be immediately visible. “The recent announcement by the EFCC that they’ll work to recover victims’ funds might be giving some people hope, delaying an immediate breakdown. But once the reality sinks in, we may see more cases emerge.”
All-round devastation
The health concerns have even reached medical facilities. Dr Toyin Ajayi-Osakwe, dedical director at Shelters Hospital and CEO of the Foundation for Family Reformation, noted a rise in psychological distress among patients.
“There’s a kind of quiet devastation—people are slipping into depression, developing anxiety disorders. Some have already been hospitalised for stress-induced complications. The brain interprets the loss as danger, triggering cortisol spikes that can worsen chronic conditions or lead to new ones. Financial trauma is real.”
The scam spared no one—not even celebrities. Popular Fuji musician Alhaji Taye Adebisi, also known as Taye Currency, disclosed during a live performance that he lost ₦10 million to the fraudulent scheme. He lamented how he had just withdrawn his savings and invested on 1 April, only for the platform to crash days later.
In the video, he bitterly cursed those who introduced him to CBEX, naming individuals he believed misled him. “I wasn’t a money doubler or greedy. They brought me into it, and now my savings are gone,” he said, clearly distressed.
For some victims, it wasn’t just the money—it was their future, their families’ stability, and their mental peace that vanished. Seun Olubode, a victim from Ibadan, said, “I didn’t just lose two million naira. I lost my peace of mind. I’ve lost sleep. My children are asking questions I cannot answer.”
Despite the Securities and Exchange Commission (SEC) classifying CBEX as illegal under the Investment and Securities Act of 2025, and the law now prescribing up to 10 years imprisonment and ₦40 million in fines for operators of such scams, justice still feels distant to many. The victims aren’t just seeking restitution—they’re seeking healing.
As Nigeria counts the financial cost of CBEX, the deeper question remains: who will count the hidden cost—the anxiety, the broken families, the sleepless nights, and the lives lost not to crypto volatility, but to the psychological trauma of misplaced trust? The collapse of CBEX may fade from headlines, but the scars it leaves on individuals, households, and the healthcare system may linger for years to come.
