A blockchain founder charged with defrauding investors out of $1 million
If convicted, Jeremy Jordan-Jones faces a maximum of 72 years in prison on charges of wire fraud, securities fraud, making false statements to a bank, and identity theft. The FBI and SEC have both been instrumental in the investigation, with a parallel civil action being filed by the SEC. The case is being handled by the US Attorney’s Securities and Commodities Task Force.
FBI and DOJ crackdown on Amalgam Capital executive
Jeremy Jordan-Jones, the founder of Amalgam Capital Ventures, allegedly deceived investors by claiming to have cutting-edge point-of-sale and blockchain payment technology. Despite boasting about partnerships and breakthrough products, prosecutors claim it was all a facade. The DOJ alleges that Amalgam had no working products, partnerships, or customers, and Jordan-Jones falsified financial documents to secure investments and loans.
Investor funds were allegedly used to fund Jordan-Jones’s extravagant lifestyle, leaving backers with empty pockets when Amalgam folded in late 2022. He now faces federal charges, including aggravated identity theft.
Clayton warns against tech-driven frauds
US Attorney Jay Clayton emphasized that fraudsters often use the guise of new technology to perpetrate schemes, as seen in Jordan-Jones’s case. Clayton, who served as SEC chairman from May 2017 to December 2020, led the commission in bringing numerous enforcement actions resulting in billions of dollars in fines and restitution for investors.
Despite the prevalence of crypto scams, the global digital assets market has reached a $3.5 trillion cap, with Bitcoin hitting a new all-time high of $111,800. However, the FBI’s annual report revealed over 140,000 complaints related to cryptocurrency in 2024, resulting in approximately $9.3 billion in losses.