CFTC accuses Goliath Ventures of a $397 million crypto fraud scheme
The U.S. derivatives regulator says the firm took funds from about 1,600 customers for crypto liquidity pools but used the money for Ponzi payments and personal spending.
By The Third AnglePublished 2 min read
A courthouse interior used as an illustrative image for the federal fraud case; it does not depict the Goliath proceedings. Photo: Unsplash · Unsplash License
The Commodity Futures Trading Commission has accused Goliath Ventures and its CEO, Christopher Delgado, of running a crypto investment fraud scheme that collected about $397 million from roughly 1,600 customers. In an Aug. 11 complaint announcement, the regulator said Goliath represented that customer money would be invested in cryptocurrency liquidity pools, but instead used funds to pay earlier investors and cover personal expenses.
The CFTC's filing seeks restitution, disgorgement, civil monetary penalties, trading and registration bans, and a permanent injunction. The agency described the allegations as part of its enforcement work in digital-asset markets.
What the authorities allege
The regulator said Goliath issued false account statements showing nonexistent profits and guaranteed principal or returns. The CFTC also said customers were solicited through referrals, marketing materials, luxury events and charitable sponsorships, while no customer funds were placed in the promised liquidity pools.
The U.S. Attorney's Office for the Middle District of Florida says Delgado pleaded guilty to federal criminal charges in June. Its case page separately describes the criminal case and warns that criminal complaints and related filings contain allegations unless and until proved in court.
A parallel court track
The Justice Department says federal authorities have been seizing assets allegedly traceable to the scheme and have filed a civil forfeiture complaint involving real properties and vehicles. The agency's case materials say investigators are still working to locate additional property.
The CFTC announcement says the Securities and Exchange Commission also filed a civil action on Aug. 11. The regulatory and criminal proceedings are separate tracks, and the allegations in the civil filings are not a final judicial finding.
