Key Takeaways
- JPMorgan faces class action over alleged crypto Ponzi scheme.
- Federal prosecutors charge the alleged scheme operator.
- Case adds to JPMorgan’s broader legal scrutiny.
JPMorgan Chase is facing a proposed class action lawsuit from investors who claim the bank enabled a large crypto fraud by continuing to provide banking services despite warning signs that the operation may have been illegitimate.
The lawsuit, filed in U.S. federal court, alleges that the bank facilitated transactions tied to what plaintiffs describe as a multimillion-dollar Ponzi scheme affecting thousands of investors.
Lawsuit Claims JPMorgan Enabled Alleged Crypto Fraud
The legal complaint was filed in the U.S. District Court for the Northern District of California by investors connected to Goliath Ventures, a crypto investment pool that authorities say was operated by Florida resident Christopher Alexander Delgado.
Plaintiffs argue that JPMorgan served as the primary financial institution for the venture and processed large volumes of transactions related to the operation.
According to the filing, the bank handled investor deposits and transfers linked to the venture for more than two years.
The complaint argues the bank should have identified suspicious activity in the accounts.
It alleges that the flow of funds — including significant deposits followed by large transfers — would have raised concerns for a financial institution responsible for monitoring potential financial crime risks.
Investors claim JPMorgan continued servicing the accounts despite these indicators, while earning fees tied to the accounts’ movements.
The lawsuit does not specify the amount of damages sought.
The Alleged Crypto Ponzi Scheme
The legal action centers on Goliath Ventures, which investors say attracted more than 2,000 participants with promises of high returns tied to crypto trading.
Authorities allege the operation used funds from new investors to pay earlier participants.
According to the complaint, hundreds of millions of dollars moved through a JPMorgan account connected to the venture between 2023 and mid-2025.
Some of the funds were reportedly transferred to crypto exchange Coinbase, while tens of millions were allegedly distributed to investors as supposed investment gains.
Federal prosecutors charged Delgado last month with wire fraud and money laundering in connection with the operation.
The criminal case remains in its early stages.
Jamie Dimon Crypto Criticism
Investors also pointed to JPMorgan CEO Jamie Dimon’s past criticism of crypto, saying the bank’s alleged role in the case appears inconsistent with those remarks.
In January, he said the crypto resembled a Ponzi scheme and questioned its usefulness.
Speaking on CBS News’ Sunday Morning, Dimon argued that Bitcoin lacks intrinsic value and often links to criminal activities such as money laundering and ransomware attacks.
While acknowledging that people remain free to invest in the asset, he said he believes it has little practical value.
JPMorgan CEO’s Record of Mixed Crypto Messages
Dimon’s skepticism toward Bitcoin has been consistent for years, though his comments have occasionally acknowledged broader potential within the crypto sector.
He has at times dismissed Bitcoin outright, arguing that it cannot function effectively as a currency.
In other instances, however, Dimon has suggested that some crypto or blockchain-based technologies may have legitimate financial applications.
His position has also shifted over time.
In 2018, Dimon said he regretted previously calling Bitcoin a fraud, softening earlier remarks that were widely viewed as strongly critical of the cryptocurrency.
Despite Dimon’s public criticism, JPMorgan has taken a measured approach toward digital assets.
The bank has explored blockchain technology and has provided certain crypto-related services to institutional clients.
Critics say this creates a contrast between Dimon’s rhetoric and the bank’s activities.
John Deaton, founder of CryptoLawsUS, has argued that JPMorgan has participated in the crypto sector even as its chief executive publicly questions Bitcoin’s value.
“As usual, Jamie Dimon says one thing while his bank does another,” Deaton said.
Separate Legal Dispute With Donald Trump
The lawsuit comes as JPMorgan faces another high-profile legal dispute involving U.S. President Donald Trump.
JPMorgan recently acknowledged in a court filing that it closed bank accounts belonging to Trump and several of his businesses in early 2021 following the attack on the U.S. Capitol, CNBC reported.
Trump sued the bank for $5 billion, alleging it shut his accounts for political reasons and disrupted his business operations.
He also claims JPMorgan and its chief executive Jamie Dimon unfairly restricted his access to banking services.
JPMorgan has previously said it believes the lawsuit lacks merit and is seeking to move the case from Florida to New York, according to CNBC.
The dispute forms part of a wider political debate in the U.S. over “debanking,” a term used when financial institutions close accounts or deny services to customers considered to pose regulatory or reputational risks.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
