SEC and CFTC sue Goliath Ventures for operating a $425M crypto Ponzi scheme promising 3–10% monthly returns.
DeFi & Yields ·
The SEC and CFTC filed separate civil lawsuits against Goliath Ventures and founder Christopher Delgado on Tuesday, alleging an unregistered scheme that gathered at least $425 million from over 1,300 investors. Investors were told their capital would generate 3–10% in monthly returns through participation in crypto liquidity pools. Instead, regulators allege the operation deployed a Ponzi structure, using deposits from newer participants to service payouts to earlier ones while fabricating account statements and performance data. Delgado allegedly diverted at least $51 million for personal spending. Investor losses are estimated between $250 million and $397 million.
The mechanics of the fraud relied on recruitment. Sales agents earned commissions for bringing in new investors, and commission payments were extracted from incoming funds. By November 2025, the inflow of new capital could not sustain the monthly distribution obligations, triggering the collapse.
Delgado previously pleaded guilty in June to wire fraud conspiracy, wire fraud, and money laundering charges, and has agreed to forfeit identified assets. He has agreed to settle the SEC civil action, subject to court approval, with final disgorgement and penalty amounts to be determined by the court. The CFTC separately seeks restitution, penalties, and market bans, and the criminal case remains distinct from the civil regulatory suits.