JPMorgan sued over alleged role in $328M crypto Ponzi scheme
JPMorgan is facing a lawsuit for allegedly enabling a $328 million crypto Ponzi scheme run by now-defunct Goliath Ventures.
Investors on Tuesday filed a proposed class action in the US District Court for the Northern District of California, accusing JPMorgan of ignoring suspicious transactions and allowing Goliath to use its infrastructure to collect investor funds.
The lawsuit notes that despite JPMorgan CEO Jamie Dimon’s repeated criticism of Bitcoin (BTC), the bank allegedly failed to prevent crypto scammers from carrying out fraudulent wire transactions.
“Chase, by virtue of its Know Your Customer actually knew that Goliath was acting as a ‘private equity’ cryptocurrency pool operator investing money for investors, without being licensed at all to sell these investments,” the complaint states.
Complaint focuses on JPMorgan account flows
The US Attorney’s Office for the Middle District of Florida announced the arrest of Goliath CEO Christopher Delgado on Feb. 24. He faces a maximum penalty of 30 years in federal prison if convicted on all counts.
Prosecutors said Goliath Ventures, formerly known as Gen-Z Venture Firm, operated the scheme from January 2023 through January 2026.
The lawsuit claims JPMorgan was the sole banking institution for Goliath from January 2023 to May or June 2025. “Goliath obtained at least $328 million from what are believed to be over 2,000 investors,” the complaint notes.
Source:
Law.com
The complaint also describes money moved from a JPMorgan account to Goliath wallets held at Coinbase.
It alleges that from January 2023 through June 2025, about $253 million was deposited into the bank’s 0305 account, which is nearly two-thirds of the $328 million investors reportedly provided. Of that total, roughly $123 million was transferred to Goliath’s wallets maintained by Coinbase.
US complaint also names Bank of America account
A separate criminal complaint filed by the US government said Goliath also held business accounts at Bank of America.
“Delgado was a co-signatory on the BOA 9136 account in the name of Goliath,” the Feb. 20 complaint states, adding that Goliath directors told at least one investor that Delgado controlled the account.
Source: US Department of Justice
The complaint further detailed that funds sent by investors were primarily deposited into JPMorgan’s 0305 account or the BOA 9136 account or transferred directly to Goliath’s wallets at Coinbase.
The government said Delgado was the sole signatory on Goliath’s Coinbase wallets.
More complaints are coming as the team is still identifying victims
The complaint was filed by a team of attorneys from Shaw Lewenz, Sonn Law Group and Schwartzbaum. The first named plaintiff, Robby Alan Steele, said he invested a total of $650,000, including retirement funds.
Related: Ex-CFO sentenced to two years for $35M crypto fraud scheme
Shaw Lewenz’ Jordan Shaw said there would be more complaints to come, as the team is still identifying individuals and entities they believe to be complicit.
“We are being purposeful and precise in who we file against, to be complementary to the receiver and his efforts," Shaw said, adding: “The goal is not to duplicate efforts, but instead to maximize recovery.”
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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