Thousands of Nigerians are counting their losses after PXES, an online platform that promised unusually high returns, suddenly stopped paying participants and became inaccessible.
The collapse has sparked outrage in several states, with angry investors storming some of the platform’s offices after losing money.
Here are five key things to know about the PXES crisis:
1. PXES Promised Very High Returns
PXES attracted participants with promises of returns that many financial experts consider unusually high.
Investors said the platform offered packages that could generate between 25% and 50% returns, while some promotions reportedly promised even higher earnings.
Many people joined after seeing friends and relatives receive payments during the early stages of the scheme.
2. Investors Across Nigeria Lost Money
Victims say they invested amounts ranging from tens of thousands of naira to several millions.
Some participants reported receiving payments initially before withdrawals suddenly stopped in early September.
For many families, the losses were significant. Some investors said they used money meant for school fees, household expenses and business activities.
3. Angry Investors Looted Some PXES Offices
After payments stopped, frustrated investors reportedly stormed PXES offices in locations including Yola, Adamawa State, and Kabba, Kogi State.
Videos circulating online showed people removing office furniture and equipment from the premises after discovering that the offices had been abandoned.
Many investors said they could no longer reach company representatives or obtain information about their funds.
4. The Platform Operated Through Daily Tasks and Referral Networks
According to participants, PXES required people to pay for different membership packages before gaining access to an online dashboard.
Members earned money by completing daily “orders” or tasks on the platform and could also increase earnings by introducing new participants.
Packages reportedly ranged from about ₦21,600 to over ₦200,000, with promotional materials claiming that members could earn several times their original investment over time.
5. Experts Say Investors Should Verify Licences Before Investing
Financial experts have warned Nigerians to always verify whether an organisation is licensed to collect investments from the public.
They stressed that registration with the Corporate Affairs Commission (CAC) alone does not authorise a company to accept public investments.
Experts also identified guaranteed profits and unusually high returns as major warning signs of potential investment scams.
Meanwhile, the Economic and Financial Crimes Commission (EFCC) has urged victims of suspected investment scams to formally report their cases, saying complaints that are properly reported will be investigated.
The PXES collapse follows a pattern seen in previous schemes such as CBEX, EMAAR and XM Future Music Group, where early payouts attracted more participants before the platforms eventually stopped operating, leaving investors with heavy losses.
As authorities and affected investors seek answers, the latest collapse serves as another reminder of the risks associated with investment opportunities that promise extraordinary returns with little explanation of how the profits are generated.
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