$328 Million Crypto Ponzi Scheme: JPMorgan Chase Accused of Aiding and Abetting

A class-action lawsuit against JPMorgan Chase alleges that the bank assisted a massive cryptocurrency Ponzi scheme. The scheme, led by Goliath Ventures, allegedly defrauded over 2,000 investors of up to $328 million. The lawsuit claims that JPMorgan Chase provided critical banking services that enabled the scheme to operate. Investors were told that their funds would be used for cryptocurrency trading strategies and digital asset arbitrage. However, prosecutors argue that the operation was a classic Ponzi scheme, using new investors' funds to pay earlier investors. Goliath Ventures and Its Ponzi Scheme Goliath Ventures, a company led by Christopher Delgado, positioned itself as a cryptocurrency investment firm. The company promised investors monthly returns of 3% to 8% through its crypto liquidity pools and trading strategies.

As the scheme began to unravel in late 2025, Goliath ceased operations and restricted investors from withdrawing funds. In February 2026, CEO Christopher Delgado was arrested and charged with wire fraud and money laundering. According to the lawsuit, Goliath Ventures operated like a typical Ponzi scheme, its longevity dependent entirely on the continuous influx of new investor funds. JPMorgan Chase's Alleged Role in the Scheme The lawsuit alleges that JPMorgan Chase played a key role in facilitating the Goliath Ponzi scheme. JPMorgan Chase is accused of processing approximately $253 million in deposits related to the scheme. These funds were transferred through JPMorgan Chase's business accounts, and subsequently, over $120 million was transferred to cryptocurrency exchanges associated with Goliath Ventures. The plaintiffs claim that JPMorgan Chase ignored numerous red flags, such as the rapid inflow and outflow of funds, the commingling of investor money, and circular payment patterns inconsistent with the company's purported cryptocurrency trading business model.

The plaintiffs argue that JPMorgan Chase's conduct was similar to its role in the Bernard Madoff scandal, where the bank failed to detect fraudulent activity despite obvious warning signs. The lawsuit claims that JPMorgan Chase failed to report suspicious transactions or freeze accounts when problems became apparent. Legal Proceedings and Allegations The class-action lawsuit seeks damages for investors defrauded by Goliath Ventures. It accuses JPMorgan Chase of aiding and abetting fraud, negligence, unjust enrichment, and violations of California's Unfair Competition Law. The lawsuit is still in its early stages, and JPMorgan Chase is expected to file a motion to dismiss, challenging the knowledge and causation aspects of the case. If the case proceeds, further investigation will be conducted to assess JPMorgan Chase's role in facilitating the scheme. The legal team representing the plaintiffs argues that JPMorgan Chase's failure to detect the fraud and its involvement in processing large sums of money enabled the Ponzi scheme to continue operating. The case raises