The Securities and Exchange Commission (SEC) has warned Nigerians against investing funds in unlicensed investments and digital assets platforms.

Recently, a digital asset platform the China Beijing Equity Exchange (CBEX) collapsed and left investors whose funds is approximately N1.3 trillion.

Investors are unable to make withdrawals from their CBEX accounts, and many others had their financial history wiped off as the digital asset’s platforms became inaccessible.

CBEX postponed withdrawals and locked its Telegram account.

Efe Ebolo, SEC Head of External Relations, explained that the newly signed Investment and Securities Act 2025 empowers the commission to be decisive in matters of this nature.

The Act establishes clear rules and regulations for digital asset platforms, including registration requirements to promote transparency and trust.

He said the Act “allows the SEC to crack down on illicit activities, such as Ponzi schemes, pump and dump tokens, and unregistered exchanges, creating a safer environment for investors.

“It is important that even for celebrities, we must be cautious about what we do. Becoming influencers or introducing meme coins that do not mean well for the generality of Nigerians is not going to be tolerated.

“The ISA 2025 is intended to promote FinTech growth and innovation, specifically within the digital asset space, while ensuring regulatory compliance. However, I want to say this very clearly: if it is not registered, it is illegal.

“The law will be enforced. Therefore, everyone who is going to be involved in this space must endeavour to fulfill the requirements of the law.”

In many places, especially in Lagos and Ibadan, investors with CBEX were seen on social media lamenting their losses and looting the office of the digital asset company.

CBEX had promised investors a 100 per cent return on investment within 30 days, but investors have been left in agony after it crashed this week.