A section of Kenyan cryptocurrency and forex traders have lost thousands of shillings after their accounts on a popular trading platform, CBEX, were suddenly emptied.

CBEX, which had gained traction across Kenya and West Africa in recent weeks, promised users AI-powered trading with supercharged profits, generous referral bonuses, and seamless withdrawals. Investors were lured by the promise of returns as high as 30% in just 30 days.

However, that dream quickly turned into a nightmare. Over the weekend, several Kenyan users reported their accounts had been wiped out without warning.
“This morning I had about $6,000 (KSh777,680) in my crypto wallet. By 7 p.m., it was at zero,” one distressed user told Business Daily.

He added that several of his relatives and friends also suffered similar losses on the platform.

CBEX’s troubles don’t stop at Kenya’s borders. Users in Nigeria and Egypt, where the platform also has a significant user base, have raised similar concerns—especially those who traded using CBEX’s AI-assisted system.

In response, CBEX has blamed the mass account wipeouts on what it calls “targeted attacks” on its AI-based trading system.
“After a thorough investigation, we found that malicious actors exploited our platform by using hacking methods and deliberately triggering trades that went against our AI signals,” the platform said in a statement to affected users.

The company claimed that these attackers manipulated the market through “full-margin operations”—a high-risk trading strategy where users trade with the maximum amount of allowed capital, amplifying both gains and losses.

CBEX has since promised to compensate affected users—but with conditions. According to the platform, users must undergo account verification by April 17, 11:59 PM (UK time). Accounts not verified by that deadline will be considered fraudulent and permanently banned, with no chance of future claims.

In a move that has sparked further outrage, CBEX is charging users to verify their accounts:

• Accounts with balances below $1,000 (KSh129,613) must pay $100 (KSh12,961).

• Those with balances above $1,000 must pay $200 (KSh25,929).

  “Once the verification fee is deposited, compensation will be credited within 1–24 hours,” CBEX stated.

The situation has once again highlighted the risks of unregulated cryptocurrency trading in Kenya. While the crypto sector boasts over 730,000 users in the country, it remains largely unregulated.

The National Treasury is currently seeking to introduce legislation that would require crypto platforms to disclose the identities of their users—a move aimed at enhancing transparency and protecting investors.