The trial lasted 12 days, the accused faces up to 45 years in prison. With the adult imprisonment, federal jurors decided to confiscate from Karoni one residential building and revenue from the sale of another facility worth about $ 2 million.
According to the prosecutor’s office, Karoni, together with the accomplices, misled investors regarding their access to the liquidity pool. The structure of Safemoon implied the use of a 10%“tax” on transactions during transactions. Half of this board was allegedly redistributed by tokens holders, and the rest was blocked in a liquidity bullet to maintain trading.
The US Department of Justice claims that Karoni has maintained access to liquidity pool and spent the raised funds to buy luxury vehicles and real estate investments. The assignment of customer funds of investors led to the fact that in December 2023 the company filed a bankruptcy application. The creators of Safemoon were able to increase the market capitalization of the SFM token, released in 2021, to $ 8 billion, but later it collapsed.
“Safemoon’s digital asset turned out to be a crane in the sky for investors, whom Karoni deliberately misled. This man sought to quickly get rich by stealing millions of dollars. We will continue to pursue criminals who profit from investors in digital assets and undermine people’s trust in the cryptorrhny. With their actions, they interfere with the development of the latest technologies, ”said Joseph Neocella, prosecutor of the Eastern District of New York.
In February, the technical director of Safemoon Thomas Smith found himself guilty of cryptocurrency fraud in the amount of more than $ 200 million. He also expects a sentence.
Source: Bits
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