Crypto12 March, 20261 min read
JPMorgan Sued Over Enabling $328 Million Crypto Ponzi Scheme
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Proposed class-action filed in Northern District of California alleging JPMorgan enabled a $328 million Ponzi Complaint alleges the bank ignored red flags: rapid fund flows, lacking legitimate crypto activity
Overview of the lawsuit
Plaintiffs have filed a proposed class action accusing JPMorgan of enabling a $328 million cryptocurrency Ponzi run by Goliath Ventures.
“JPMorgan is facing a lawsuit for allegedly enabling a $328 million crypto Ponzi scheme run by now-defunct Goliath Ventures.”
The suit Steele v. JP Morgan Chase Bank, N.A. was filed March 10, 2026 in the U.S. District Court for the Northern District of California.
Plaintiffs seek to represent thousands of investors who say the bank processed the bulk of investor flows.
How the scheme operated
Court filings allege that Goliath marketed itself as a crypto liquidity pool promising steady monthly returns. The complaint says investor money was routed through a core JPMorgan account and onward to exchange wallets. Prosecutors claim roughly $253 million moved through the bank and about $123 million flowed into Coinbase wallets that Delgado controlled as sole signatory.
Allegations against JPMorgan
Plaintiffs and media reporting contend JPMorgan ignored red flags. Reported warning signs include rapid, unusual fund flows, lack of legitimate crypto activity, and circular transfers. Plaintiffs say the bank failed to meet anti‑money‑laundering obligations by allowing its infrastructure to be used to collect investor funds.
“The JPMorgan suit alleges the bank ignored red flags like rapid, unusual fund flows and lack of legitimate crypto activity, all despite anti-money laundering obligations.”
Criminal actions and receivership
Separately, prosecutors and courts have acted against the operators. Goliath CEO Christopher Delgado was arrested on February 24, 2026 on federal wire fraud and money laundering charges. A federal judge froze his assets and a court-appointed receiver is overseeing Goliath’s holdings while criminal and civil proceedings continue.
Legal fallout and implications
The civil litigation seeks compensation and other remedies while naming additional potential facilitators. Plaintiffs demand disgorgement of fees and identify other banks and service providers, including a referenced Bank of America account. A separate class action targets a law firm and observers expect early dismissal motions and protracted litigation.
“A separate Florida class action targets law firm Alston & Bird LLP for allegedly drafting agreements to evade securities laws.”