Investors of Goliath Ventures filed a class-action lawsuit in US District Court for Northern District of California accusing JPMorgan Chase of supporting an alleged crypto Ponzi scheme worth $328 million.
According to the lawsuit, JPMorgan was Goliath’s main bank at the time of operation. It processed deposits and transferred funds from Coinbase wallets in spite of multiple warnings.
It is believed that more than 2,000 investors have been affected.
The lawsuit claims
Investors say that red flags should have raised concerns. The complaint claims that JPMorgan provided “the essential banking infrastructure” which allowed Goliath Ventures run their operations, despite the fact that JPMorgan was accused of providing it.
The filing states that approximately $253 million in deposits were made into the JPMorgan linked account of Goliath from January 2023 to June 2025.
Around $50 million in supposed returns was distributed as a result of the transfer.
Investigators think Goliath collected at least 328 million dollars from over 2,000 investors.
According to the complaint, a fraud on this scale would not have been able to pass through one banking channel unnoticed due its magnitude and amount of money.
Who is responsible for the charges and how did it work?
Goliath Ventures (formerly known as Gen-Z Venture Firm) accepted deposits from investors through JPMorgan before transferring funds into cryptocurrency wallets on Coinbase.
Christopher Alexander Delgado has been charged with wire fraud, money laundering and other charges.
This complaint raises questions about Know Your Customer (KYC) compliance. It alleges that the bank was aware of Goliath’s unlicensed role as a “private equity” cryptocurrency operator.
The report claims that funds from investors were mixed and paid to earlier participants in a manner consistent with the classic Ponzi Scheme mechanics.
Delgado faces up to thirty years of federal prison if convicted in all charges.
Alternative banks and payment methods
According to court documents, Goliath had accounts with Bank of America.
Delgado reportedly was co-signatory of one account held under the name of the company.
Investors are directed to either deposit money into JPMorgan, Bank of America or Coinbase wallets controlled by Goliath.
Delgado, according to investigators, was the sole owner of these wallets.
What happens after the response?
Investor Robby Steele filed the complaint along with legal counsel for affected investors. This lawsuit has not specified a damages total.
The attorneys involved in this case have said that additional complaints could follow as individuals or entities suspected to be responsible for the incident are identified.
It is important to pursue claims with care in order to maximize the recovery of investors.
The case revolves around whether JPMorgan ignored alleged warning signals while managing Goliath’s accounts.
This could have a significant impact on how banks will monitor crypto transactions and high-risk customers in the future.
This article Why are investors suing JPMorgan for a $328M cryptocurrency Ponzi? This post may change as new information becomes available
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