Two US financial regulators sued Goliath Ventures and its CEO, Christopher Delgado, this week, two months after he pleaded guilty to charges in the same crypto Ponzi scheme.

The Securities and Exchange Commission (SEC) noted that the multi-year operation raised at least $425 million from more than 1,300 investors. 

Inside the Alleged Goliath Ventures Scheme

Goliath pitched investors on partnering to fund crypto asset liquidity pools, which it claimed to manage. The company promised monthly profit distributions of 3% to 10%, according to the SEC.

The regulator alleges that the accused invested none of the money and instead paid earlier investors with funds from newer ones.

The SEC said that Delgado misappropriated at least $51 million for personal spending. This included purchasing residential properties, luxury vehicles, and a yacht, as well as travel.

According to the complaint, the firm also hired sales agents on commission and issued fake account statements and investment performance metrics. The move was meant to show investors that they were earning profits.

Finally, by November 2025, Goliath could no longer recruit fast enough to cover payouts, and the scheme collapsed.

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Two Regulators Move in Parallel

The SEC says the operation raised at least $425 million from more than 1,300 investors. The CFTC complaint cites roughly 1,600 customers and at least $397 million.

The SEC charged both defendants under the Securities Act and the Exchange Act. Delgado agreed to a bifurcated settlement. The CFTC seeks restitution, disgorgement, civil penalties, and permanent trading and registration bans. Chairman Michael Selig framed the action as part of a broader enforcement push.

“We will continue to aggressively police fraud, abuse, and manipulation in the crypto asset markets to ensure that bad actors are punished, while developing clear rules of the road so that good actors have the opportunity to build on American soil,” he said.

Delgado had already pleaded guilty to charges of conspiracy to commit wire fraud, wire fraud, and money laundering. His sentencing is scheduled for October 8.

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Source: BeInCrypto