Crypto Scam Update: The Kenyan Scam That Wiped Out Millions in Just Days

It sounded too good to be true — because it was.

Thousands of Kenyans have been blindsided by the sudden collapse of CBEX, a flashy online trading platform that promised unbelievable returns through “AI-powered” crypto trading. For many, it wasn’t just a loss — it was everything. From life savings to loans and even their most private information, CBEX took it all — and left nothing behind.

The platform became a viral hit in Kenya and parts of West Africa by promoting jaw-dropping profits, with some claiming returns of up to KSh 30 million a month. The higher your investment, the higher your supposed earnings. But behind the polished dashboard and digital graphs was something far darker: a cleverly disguised Ponzi scheme.

“I Lost Everything”

Celine Awuor, a finance professional who asked to remain anonymous, was one of the many victims who fell for the CBEX dream. “I am not okay,” she told TUKO.co.ke. “I invested over a million shillings. Someone I know took a loan of KSh 4 million — they lost everything.”

Like many others, Celine was lured in by word-of-mouth. Colleagues and friends appeared to withdraw actual money, giving the illusion that the platform was legitimate. But CBEX’s system was built to manipulate. The more users invited, the more credibility it seemed to have.

And that’s when things got worse.

Suspicion Turns Into Panic

John Mutai, another victim, said he began suspecting foul play when withdrawal conditions were suddenly tightened. “They kept raising the trading volume requirement. I had invested $600 and expected to withdraw it after a month. Then they changed the rules — and I knew something was wrong.”

CBEX claimed to trade using USDT (a stablecoin), yet the system behaved erratically. “The returns didn’t match market fluctuations. It didn’t make sense,” said Mutai.

On April 14, the final blow came: the app suddenly “traded” with 100% of user funds — and lost it all. Victim accounts across the board showed zero balances. Panic turned into devastation.

A message from someone named “Harold,” the supposed team director, claimed that the platform had been hacked and the system overwhelmed. But a deeper look revealed the ugly truth — Harold was nothing more than a chatbot on Telegram.

The Final Insult

As if losing all their money wasn’t enough, CBEX had one more trick up its sleeve. It began asking victims to pay more money to “verify” their accounts for fund restoration. Accounts with less than $1000 were told to pay $100. Those with more? A $200 fee.

“How foolish do they think we are?” asked Celine, unable to hide her anger. “They already stole everything, now they want more?”

But perhaps even more terrifying than the lost funds is what comes next. Victims were asked to upload both sides of their national ID cards — including selfies while holding the documents.

“They didn’t just rob us financially,” said another victim named Neli. “They took our identity. What will they do with it now?”

A Scam in Plain Sight

According to crypto trader Kelvin Meli, the signs were always there. “The returns were unrealistic. The system didn’t respond to real market conditions. And it operated just like a classic pyramid scheme — where recruiting others was the only way to grow earnings.”

Meli warns that the victims’ data is now at risk of being sold on the dark web, or worse, used to build another fraudulent platform targeting new users.

Final Thoughts

CBEX wasn’t just a scam. It was a masterclass in digital deception — preying on hope, trust, and the dream of quick wealth. It devastated families, shattered lives, and exposed the vulnerability of even seasoned professionals.

And as the dust settles, one thing is certain: this won’t be the last crypto con to hit unsuspecting investors. But if CBEX has taught us anything, it’s this — when the profits sound too perfect, they probably come with a cost.