CBEX Officially Collapses After Moving $847M to Private Ethereum Wallet – What You Need to Know
In a shocking turn of events that has rocked the crypto trading community, CBEX, a so-called AI-powered trading platform promising investors a 100% return on investment (ROI) in just 30 days, has officially crashed. The platform, which had been operating under the guise of offering automated crypto trading services, has reportedly moved over $847 million USD (₦1.3 trillion) into a private Ethereum wallet, leaving thousands of users with empty balances and locked accounts.
What Really Happened?
On April 14th, crypto investigators and whistleblowers observed a suspicious transaction involving a staggering $822,852,811.66 USD worth of user funds, which were transferred from CBEX’s TRX wallets into a single Ethereum (ETH) wallet. According to verified blockchain data, this was not the first transfer, and ongoing transactions suggest the scam is still in motion.
This development comes after several users reported that their wallets suddenly displayed 0.00 balances, despite recent deposits. Alarmingly, many stated that their funds seemed to disappear immediately after depositing, indicating a well-orchestrated exit scam.
CBEX's Response: Pay More to “Verify” Withdrawals
Instead of addressing concerns, CBEX administrators locked all their Telegram support and trading channels, cutting off communication. The only message to users? A new "verification process" that requires additional payments:
Users with balances under $1,000 are asked to pay $100
Users with balances over $1,000 must pay $200
CBEX claims this fee is necessary due to a "security breach" and will be used to "authenticate" users before allowing access to their funds. However, cybersecurity experts warn this is just another tactic to extract more money from already defrauded investors.
Classic Ponzi Structure: No Real Trading Happened
Cybersecurity analyst Taiwo Owolabi, in a viral video breakdown, revealed the true inner workings of CBEX. Despite flashy dashboards and the illusion of daily profits, the platform was never truly trading.
According to the investigation:
Users deposited funds into TRX (Tron) wallets.
The funds were then immediately moved to USDT and ETH wallets controlled by the scammers.
The dashboard displayed fake returns while actual funds were long gone.
Withdrawals were processed using new deposits from other users, a clear Ponzi scheme model.
As long as new users were joining and depositing, CBEX kept the illusion going. But with growing complaints and a diminishing influx of new investors, the system finally collapsed.
$847M and Counting: The Damage Done
As of now, the total funds traced to the fraudulent Ethereum wallet exceed $847 million USD. Analysts believe the number could increase as more transactions are discovered. The traceable wallet, according to blockchain records, is:
TRX Address: TDqSquXBgUCLYvYC4XZgrprLK589dkhSCf
Can Victims Recover Their Funds?
Experts suggest that recovering these funds is theoretically possible, but it would require extensive legal and international blockchain forensics, not to mention cooperation from major exchanges to freeze or seize the stolen assets.
However, because CBEX is unlicensed and unregulated, any form of recovery is likely to be costly and extremely difficult.
Warning Signs Were There
From the beginning, red flags were abundant:
Guaranteed 100% ROI in 30 days
Poorly built website mimicking legitimate platforms like ByBit
Anonymous operators and vague company information
Unrealistic trading claims using “AI technology”
Yet, many ignored these signs, lured by the promise of quick riches. As one observer put it:
> “The red flags weren’t just flying — they were walking, running, and dancing.”
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Final Thoughts: CBEX Was Never Legitimate
CBEX’s downfall underscores the growing trend of sophisticated Ponzi schemes in the cryptocurrency space, particularly targeting unsuspecting investors in regions with lax regulation. With over ₦1.3 trillion siphoned off in Nigeria alone, the scale of this fraud is one of the largest in recent memory.
Until regulatory bodies step in, the best defense remains awareness and due diligence. No legitimate platform can guarantee a 100% return on investment, and any offer that sounds too good to be true — especially in crypto — almost always is.
For a detailed video breakdown from Taiwo Owolabi on how CBEX moved investor funds, including live blockchain analysis, watch the full video [insert YouTube link if available].
Follow @TrendingEx for real-time updates on CBEX and other breaking crypto news.
Tag us with #CBEXScam #CryptoFraud #CryptoNigeria #PonziAlert
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