Crypto Fraudster Sentenced too 97 Months for $40M Ponzi Scheme
A 57-year-old man has been sentenced to 97 months in prison for his part in a massive crypto fraud.Dwayne Golden was convicted of running a Ponzi scheme that swindled investors out of over $40 million.
On June 27, U.S. District Judge William F. Kuntz II handed down the sentence in Brooklyn federal court. Golden pleaded guilty in September 2024 to conspiracy charges involving wire fraud and money laundering. He and his accomplices ran three fake crypto firms: EmpowerCoin, ECoinPlus, and Jet-Coin. They promised high returns on overseas crypto trades.Instead, they used new investors’ money to pay old investors and line their pockets. The scheme ran from april to August 2017.
Golden and his partners misled people about guaranteed profits. They shut down the platforms and vanished with the cash. Victims suffered huge losses when the platforms closed.
Golden and his team destroyed evidence and gave false info to investigators. They tried to block a Federal Trade Commission probe.
Golden’s sentence is part of a broader crackdown on crypto fraud. The DOJ has seized millions in crypto linked to various scams. They’re using blockchain tech to trace and recover stolen funds.
Victims can file claims with the FBI for restitution. The DOJ and FBI vow to keep fighting crypto crime with global partners.
