A New York court sentenced Instagram blogger Jay Mazini to seven years in prison, accusing him of creating an $8 million cryptocurrency fraud scheme.

In the midst of the coronavirus pandemic, 28-year-old New Jersey resident Jebara Igbara persuaded his followers to give him several million dollars, and then raised some more money from the Muslim community. The blogger promised that the crypto-assets purchased with these funds would be used to finance Hallal Capital. The company was going to make a profit from shares, as well as from the resale of electronics and personal protective equipment such as medical masks. However, the investors' money was spent on expensive cars, gambling and a luxurious lifestyle, prosecutors allege.

“It is shameful that the accused even targeted his own religious community, taking advantage of their trust. He spent other people’s hard-earned money,” Breon Peace, the prosecutor for the Eastern District of New York, said ominously at the trial.

Igbara posted videos of himself handing out cash to fast food workers or ordinary people paying for purchases at Walmart stores. Thus, he created the impression that he was so successful that he could just give out dollars to people, the prosecutor was indignant.

Later, the police began to receive complaints against the blogger. One victim reported that he sent Igbara $100,000 worth of bitcoins. Another victim claimed that the blogger stole 50 bitcoins from her by faking a bank transfer for $2.56 million.

Along with the prison sentence, the defendant will be required to return a total of $10 million to his victims. As for Jay Mazini's Instagram and other social media accounts, they have already been deleted.

In November 2022, the blogger pleaded guilty to cryptocurrency fraud and conspiracy to commit money laundering. He faced up to 20 years in prison.