The U.S. Department of Justice (DOJ) has formally charged Jeremy Jordan-Jones, the self-proclaimed founder of Amalgam Capital Ventures, with multiple fraud offenses including wire fraud, securities fraud, and identity theft. Authorities allege Jordan-Jones orchestrated a scheme defrauding investors of more than $1 million through false representations about his company's partnerships and financial status.
Jordan-Jones is accused of fabricating claims about Amalgam's lucrative collaborations with major-league sports teams and prominent payment processing platforms. He solicited investments by promising that funds would be used to list Amalgam's crypto token, as well as support hardware, software, and operational expenses. Instead, prosecutors say he diverted investor money to fund a lavish personal lifestyle and submitted falsified financial documents to banks.
Amalgam operated between January 2021 and November 2022 before shutting down, leaving notable financial losses for victims. The case adds to rising scrutiny and legal action against fraudulent practices in the blockchain and crypto industry. The FBI highlighted that fraudsters often cloak their schemes by exploiting promises of new technology, emphasizing the importance of vigilance.
Recent data show $9.3 billion in crypto-related losses from scams, extortion, and other fraudulent activities in 2024 alone. This prosecution follows trends of increasing regulatory and law enforcement efforts to protect investors. Concurrently, lawmakers have advanced the GENIUS Act aimed at establishing a stablecoin regulatory framework to enhance oversight.