In brief
Investors in Nigeria are devastated as the investment app CBEX freezes their accounts, leading to public protests and social media outcry over potential financial losses.
Nigerian investors are expressing deep frustration and fear as they find themselves locked out of their accounts on the digital investment platform CBEX. The freeze has led many to take to social media to share their distress, with some posting videos that reflect their anguish over being unable to access their investments, prompting concerns that their money may be lost permanently.In a dramatic response, a group of enraged customers targeted a CBEX office located in Ibadan, south-west Nigeria, where they vandalized the premises and made off with office furniture, including chairs, air-conditioners, and a solar panel. The company, which has yet to issue a public statement addressing the issue, had previously enticed investors with promises of doubling their money every month, a tempting offer amid Nigeria's current economic struggles.One investor, named Ola, confided in BBC Pidgin about his anxiety regarding a potential loss of 450,000 naira (approximately $280 or £210). He lamented, "I was set to withdraw all my investment just last week, but my friend advised me to wait - and now it seems to have crashed." Other users have echoed similar fears, with reports of losses reaching as high as $16,000.The initial signs of trouble began over the weekend, but the frustration escalated into chaos when users remained unable to access their funds on Monday. Some customers who sought help on the private messaging service Telegram received varying responses from CBEX, attributing the issue to a hacking incident, while assuring clients that the matter would soon be resolved.Meanwhile, Nigeria's Securities and Exchange Commission (SEC), responsible for overseeing the investment sector, has not commented on the situation despite previous warnings issued about the risks associated with unregulated digital platforms and potential Ponzi schemes. This recent turmoil has resurrected painful memories for many Nigerians, recalling the collapse of a similar financial scheme, MMM, in 2016, which left numerous investors heartbroken after it froze transactions and failed to deliver promised returns. The trend highlights the ongoing vulnerabilities in the country's investment landscape.
