EmpowerCoin and ECoinPlus Founders Jailed in Major Crypto Fraud Case
In a landmark crypto fraud case, Dwayne Golden, 57, has been sentenced to 97 months (nearly 8 years) in prison for his central role in a $40 million Ponzi scheme involving fake digital asset platforms including EmpowerCoin, ECoinPlus, and Jet-Coin.
The U.S. Department of Justice (DOJ) announced the sentence on Friday, after a federal court in Brooklyn convicted Golden of wire fraud and money laundering. His fraudulent crypto schemes promised guaranteed returns from digital asset trading, which prosecutors say never occurred.
Ponzi Scheme Disguised as Crypto Investment Platforms
Operating between April and August 2017, Golden and his co-conspirators marketed the platforms as legitimate international cryptocurrency trading firms. However, the companies were fronts for a classic Ponzi scheme, using new investor funds to pay earlier participants or personally profit.
“Golden and his co-defendants offered no legitimate services,” stated U.S. Attorney Joseph Nocella, emphasizing the total absence of any real crypto trading.
The scams collapsed soon after collecting investor funds, leaving victims with significant financial losses. Golden also attempted to obstruct justice by destroying evidence and providing false information during a federal grand jury investigation and a Federal Trade Commission (FTC) probe.
Legal Consequences and Restitution Efforts
Golden was ordered to forfeit approximately $2.46 million, with further restitution proceedings ongoing. His co-defendant William White has already been sentenced to 30 months in prison, while Gregory Aggesen and Marquis Egerton (a.k.a. Mardy Eger) are awaiting sentencing.
FBI Assistant Director Christopher Raia described the operation as “an elaborate scheme rooted in deceit,” highlighting Golden’s complete disregard for integrity.
The FBI is encouraging victims of the scam to submit restitution claims via its dedicated online portal.
Rising Wave of Crypto Scams in 2025
Golden’s conviction comes amid a broader trend of crypto-related fraud. Earlier this month, five individuals pleaded guilty to a $37 million scam involving social media and dating platforms to lure U.S. victims. So far in 2025, over $2.1 billion has been stolen in crypto scams, according to CertiK.
Conclusion: A Cautionary Tale for Crypto Investors
The sentencing of Dwayne Golden serves as a strong warning to crypto scammers, while also reminding investors to stay vigilant. As the digital asset space grows, so do the sophistication and risks of fraud. Always verify platforms and conduct due diligence before investing.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.