JPMorgan Sued for Allegedly Enabling $328 Million Crypto 'Ponzi Scheme'
A lawsuit filed in San Francisco federal court accuses JPMorgan Chase of knowingly allowing its customer, Goliath Ventures, to execute a $328 million crypto fraud described by the Department of Justice as a Ponzi scheme. The suit alleges Chase failed to perform adequate due diligence on Goliath Ventures, which operated a fake crypto liquidity pool and misused customer funds for personal expenses and payments to early investors. Christopher Alexander Delgado, Goliath’s CEO, was recently arrested on wire fraud and money laundering charges. The suit contends that JPMorgan Chase should have verified Goliath’s regulatory status under know-your-customer requirements, but neglected to do so and thus enabled the fraud. The complaint also references CEO Jamie Dimon’s critical stance on cryptocurrency, noting his previous warnings about crypto’s risks and links to criminal activity. JPMorgan Chase declined to comment on the lawsuit.
