SEC and CFTC lawsuits allege Goliath Ventures misused $400 million in investor funds, diverting $51 million for personal luxury spending.
The SEC and CFTC filed separate civil lawsuits against Goliath Ventures and founder Christopher Delgado, accusing them of operating a $400 million crypto Ponzi scheme. The SEC alleges the firm raised at least $425 million from over 1,300 investors under false pretenses, promising returns from crypto liquidity pools while diverting $51 million for personal use.
Investors were told their funds would generate monthly returns of 3% to 10%, but regulators claim no investments were made. The CFTC separately stated that approximately 1,600 customers contributed $397 million, with funds allegedly used for non-trading purposes. Both agencies seek restitution, penalties, and market bans.
The lawsuits follow a criminal case where Delgado pleaded guilty, expanding potential consequences to include investor compensation and regulatory penalties beyond the criminal plea agreement.