South Dakota Man Indicted in Alleged $20 Million Crypto Fraud Scheme

A federal grand jury has indicted a South Dakota crypto investor on charges including wire fraud, money laundering, bank fraud and aggravated identity theft in connection with an alleged $20 million investment scheme. The Justice Department announced the indictment Thursday against 43-year-old Benjamin Paul Wiener.

Investors Allegedly Misled With False Promises

According to prosecutors, Wiener convinced individuals to invest money and digital assets in his companies by making false and misleading statements. Authorities allege he used funds from newer investors to pay back earlier ones and to cover personal expenses once the original investment funds ran out, a pattern commonly associated with Ponzi-style schemes.

Wiener Faces Decades in Prison If Convicted

The indictment includes 29 counts in total. If convicted, Wiener could face up to 30 years in prison and a $1 million fine on the bank fraud charge, along with up to 20 years in prison and a $250,000 fine for each count of wire fraud and money laundering. He would also face a mandatory additional two year prison sentence for aggravated identity theft. Prosecutors say the alleged scheme impacted dozens of victims across South Dakota, Minnesota and nearby areas.