SEC, CFTC Sue Goliath Ventures, Founder Over Alleged $400 Million Crypto Ponzi Scheme

Cointelegraph reported on August 11 that the SEC alleged Goliath Ventures raised at least $425 million from more than 1,300 investors through unregistered securities offerings. Investors were told the money would be deployed in crypto liquidity pools. No investments were actually made, the SEC said, and Delgado allegedly misappropriated at least $51 million for personal use.

In a separate complaint, the CFTC said about 1,600 customers paid at least $397 million for purported Bitcoin and Ether trading. The agency asked the court to order restitution to investors, disgorgement, civil monetary penalties, trading and registration bans, and a permanent injunction.

Goliath Ventures promised monthly returns of 3% to 10% and guaranteed principal, telling investors the payouts would come from liquidity-pool fee income. Instead, it used money from new investors to pay existing ones in a classic Ponzi structure. Account balances and performance metrics were also falsified. The scheme effectively collapsed after monthly distributions stopped as new inflows slowed after November 2025.

Delgado agreed to a separate settlement with the SEC. Subject to court approval, he would be permanently barred from violating securities laws. He would also be prohibited from participating in securities offerings, other than trading in his personal accounts, and from broker- or dealer-related activities. The court will determine disgorgement and civil penalties separately.

Delgado had previously pleaded guilty to conspiracy to commit wire fraud, wire fraud and money laundering. The U.S. Department of Justice said on June 30 that at least $400 million had been paid into Goliath Ventures and that Delgado caused at least $250 million in investor losses. He also agreed to forfeit real estate, vehicles, luxury goods, bank accounts and cryptocurrency wallets tied to the case.