Goliath Ventures, an Orlando, Florida-based crypto firm, filed for Chapter 11 bankruptcy, Bondoro reported on March 16.

The company, tied to an alleged $328 million Ponzi scheme, filed for bankruptcy in the U.S. Bankruptcy Court for the Southern District of Florida.

Chapter 11 bankruptcy is a court-supervised restructuring process that allows crypto firms to stabilize operations, pause client withdrawals, and repay creditors rather than immediately liquidating assets.

Related: Popular crypto game shuts down among high-profile exits

It was on Feb. 24 that Goliath Ventures, formerly Gen-Z Venture Firm, founder and CEO Christopher Delgado got arrested on charges of wire fraud and money laundering. If convicted on all counts, Delgado faces a maximum penalty of 30 years in federal prison.

Authorities accused him of operating Goliath as a Ponzi scheme during January 2023-January 2026 by getting victims to invest substantial amounts of money under false and fraudulent promises of monthly returns from crypto liquidity pools.

However, these funds were funneled into paying purported returns to earlier investors, returning principal to investors, and the firm's extravagant business gatherings and luxury travel accommodations, the authorities further claimed.

"Based on these false and fraudulent representations, Goliath obtained at least $328 million from victim investors."

They also accused Delgado of purchasing four residential properties, each worth between $1.15 million and $8.5 million.

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The Ponzi scheme defrauded over 2,000 investors. Gregory Wilson ($8.74 million) and John Euliano ($1.28 million) are among the most affected victims of the fraud as per the bankruptcy filing.

As reported earlier, a plaintiff even filed a class-action lawsuit against JPMorgan Chase (NYSE: JPM) earlier this month for turning a blind eye to Goliath Ventures' suspicious transactions at the Wall Street bank.

The suit also claimed the bank's partnership with Coinbase (Nasdaq:), the largest U.S. crypto exchange, allowed the Ponzi scheme to rise to this magnitude.

Related: Another major Wall Street bank sued over $328 million ponzi scheme

This story was originally published by TheStreet on Mar 28, 2026, where it first appeared in the Bankruptcy News & Analysis section. Add TheStreet as a Preferred Source by clicking here.