The Economic and Financial Crimes Commission (EFCC) has confirmed progress in the ongoing investigation into the N1.3 trillion cryptocurrency fraud involving the Crypto Bridge Exchange (CBEX), which collapsed earlier this year.
In a recent interview with TVC, EFCC Chairman Ola Olukoyede revealed that the commission has recovered substantial money and made several arrests linked to the massive digital investment scam that defrauded thousands of Nigerians.
“We have gone far with CBEX. We have been able to recover a reasonable amount of money,” Olukoyede said.
Crypto Recovery Challenges
Although the stolen funds were primarily in cryptocurrency, the EFCC has been able to trace and recover part of the loot. However, the commission faces significant challenges due to the nature of digital currencies and the complexity of converting crypto back into cash.
“Even though it’s in the crypto wallet, the same way the money was taken from them, there is no way you will get it in dollars without necessarily going through the same process,” Olukoyede explained.
Suspects Arrested, Others Still at Large
The EFCC chairman also confirmed that some suspects have been arrested, while others remain on the run. He emphasized that the agency is withholding detailed information to avoid jeopardizing ongoing operations.
“We have made reasonable arrests. We are not going to give out much because we don’t want the process to be disrupted,” he stated.
Non-Custodial Wallets: A Major Obstacle
Olukoyede highlighted that one of the biggest obstacles in the investigation is the fraudsters’ use of non-custodial crypto wallets, which do not require Know Your Customer (KYC) verification, making them nearly untraceable.
“The wallets they created are non-custodial; in other words, no KYC. So, you can’t trace them to anybody,” he explained.
The EFCC discovered that after receiving funds from victims, the scammers transferred the assets to wallets in Europe and Eastern Europe, especially Cambodia, and then dispersed the money. Some of these wallets have since been blocked, preventing further disbursement.
CBEX Quietly Resumes Operations
Despite its collapse in April 2025, CBEX has reportedly resumed operations, allowing users to re-register, trade, and even withdraw, a move viewed by many as an attempt to regain trust. Gistreel reported this development, even as public trust remains low.
EFCC Issues Warning
Olukoyede cautioned the public to remain vigilant, noting that some perpetrators are still active and that more Nigerians continue to fall victim to similar fraudulent schemes.
“I even learnt that some of these perpetrators are still active, and Nigerians are still falling victim. I believe people should learn from this,” he warned.
Key Facts:
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CBEX collapsed in April 2025 after widespread withdrawal issues.
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Estimated investor losses exceed ₦1.3 trillion.
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EFCC has recovered part of the stolen crypto and made arrests.
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Investigation continues as suspects move funds through non-traceable wallets.
