CBEX and the Rise of AI-Powered Crypto Scams

It promised 100% returns in 35 days. All you had to do was turn on a feature called “hosting,” and an AI would trade on your behalf, twice a day if you didn’t have referrals, three times if you did. At the centre of it all was ST (Super Technologies), a Telegram-based group with thousands of Nigerian investors, all funnelled into trading through a sleek-looking app called CBEX.

For months, it worked—or at least, it looked like it did. Investors could see fake trade logs, smooth dashboards, and even withdraw profits. But between April 9-15, 2025, the cracks showed. A sudden pause on withdrawals followed by a 100% loss on trades that wiped out everyone’s balance. CBEX and ST blamed hackers. Then came the so-called “compensation program,” asking victims to pay $100–$200 more just to unlock their own funds.

What followed was chaos—and possibly, one of the biggest crypto losses Nigeria has seen. While a few media reports confirmed losses in the hundreds of millions of dollars, anecdotal claims put the total figure closer to 9.7 billion naira (~$6.1M). Techloy’s investigation found that this wasn’t a typical Ponzi scam. It was something else: a high-tech illusion, propped up by AI and designed to look real.

CBEX, which falsely claimed to be affiliated with the China Beijing Equity Exchange, used AI-generated trading logs, 24/7 bot-run customer service, and fake social media credibility to convince investors it was legitimate. The ST group added pressure by gamifying referrals and promising even higher returns for network builders—classic Ponzi mechanics like MMM, now dressed in generative AI clothing.

And it’s not the first time we’ve seen this kind of playbook.

Not an Isolated Case

In South Africa, Mirror Trading International promised AI-powered forex trading before vanishing with over $1 billion. Similarly, OneCoin, founded by Ruja Ignatova (now dubbed the “Cryptoqueen”), raised $4 billion with no working blockchain.

PlusToken convinced Chinese investors it had an algorithmic system running trades in the background—until it disappeared with $3 billion in Bitcoin. All of them, like ST/CBEX, sold the idea of effortless, tech-driven wealth.

The difference now, however, is AI has made it easier to scale these scams fast, cheaply, and globally. From AI-written whitepapers to voice bots and influencer avatars, scammers can now fake everything—even regulation.

Nigeria’s Securities and Exchange Commission (SEC) is trying to catch up. In a virtual session with fintech stakeholders on April 14, SEC DG Emomotimi Agama issued a clear warning: “If a platform is not registered with the SEC, it is illegal.”

The newly signed Investment and Securities Act (ISA 2025) gives the commission power to prosecute Ponzi scheme promoters with up to 40 million naira in fines and 10 years in prison. Influencers aren’t exempt—if you promote a scam, you could be held liable too.

Why Nigerians fell for it

While regulation is a step forward, the deeper issue here is economic vulnerability. Many victims joined CBEX not out of greed, but out of desperation. In a region of low wages, inflation, and high youth unemployment, platforms promising quick returns—especially those wrapped in AI buzzwords—can be seductive.

Scams like CBEX don’t just steal money. They exploit hope, trust, and the belief that technology can unlock a better life. AI might be the new trick in the book. But the story remains the same: if it sounds too good to be true, it probably is.

But for those who are now victims of this ST/CBEX, it's anyone's guess if they'll ever get their money back.