Ohio Manager Gets 9 Years for $10M Crypto Ponzi

Rathnakishore Giri, a 31-year-old investment manager from New Albany, Ohio, received a nine-year federal prison sentence Monday and three years of supervised release for running a $10 million cryptocurrency Ponzi scheme that defrauded investors.

Prosecutors say Giri presented himself as an experienced cryptocurrency and Bitcoin derivatives trader who guaranteed investors high, risk-free returns and the return of their principal. Instead of trading profitably, he is accused of using funds from new investors to pay earlier clients and covering losses from failed trades.

When investors requested withdrawals, Giri allegedly provided false explanations to delay payments. Federal authorities first indicted him in November 2022 on five counts of wire fraud. He pleaded guilty to one count in October 2024.

While awaiting sentencing, Giri continued to solicit funds from crypto investors. The Department of Justice noted in a press release that Giri admitted to that additional conduct in an amended plea agreement with the department.

The case was handled by the Justice Department’s Fraud Section. Acting Deputy Chief Lucy B. Jennings and Trial Attorney Tamara Livshiz led the prosecution. The department described the scheme as a classic Ponzi operation that used incoming investor funds to satisfy earlier investors rather than legitimate trading profits.

The sentence was announced as federal authorities report rising losses tied to cryptocurrency fraud. The FBI’s Internet Crime Complaint Center recorded $11.36 billion in cryptocurrency losses reported by Americans in 2025, a 22 percent increase from the previous year. The Justice Department has increased enforcement actions in cases involving false investment promises and misuse of client funds.