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Market News

Georgia Man Faces Charges in $165M Crypto Ponzi Scheme

Edward Zimbardi was deported from Fiji after allegedly collecting more than $165 million from thousands of investors through a crypto Ponzi scheme promising 25% monthly returns.

Written By Jalpa Bhavsar
Edited by Divya Mistry
Published 1 hour ago
Make The Crypto Times preferred on GoogleGoogle
Georgia Man Faces Charges in $165M Crypto Ponzi Scheme

A Georgia man accused of running a $165 million cryptocurrency Ponzi scheme has been returned to the United States after spending more than a year in Fiji, where authorities deported him following a federal indictment.

According to a press release from the US Department of Justice, Edward Zimbardi, 59, of Flowery Branch, Georgia, faces 12 counts of wire fraud and 12 counts of money laundering.

AI Summary
Show
Zimbardi will face a Los Angeles magistrate, likely detained by U.S. Marshals pending Georgia trial.
FBI will solicit victim testimony, potentially shaping restitution calculations for the $165 million loss.
Case highlights need for stronger international cooperation to track crypto fraud across borders.

He also faces one count of money laundering conspiracy. Zimbardi was indicted on July 8, 2026. Fijian authorities deported him to the US on August 14, according to the official press release.

Prosecutors allege that Zimbardi operated a scheme called The Crypto Program between June 2022 and August 2023, attracting thousands of investors with promises of guaranteed returns of 25% a month.

The case is being investigated by the FBI with assistance from U.S. and Fijian authorities, along with several U.S. financial and regulatory agencies.

How The Crypto Program allegedly worked

According to prosecutors, Zimbardi promoted The Crypto Program through websites and promotional videos as an investment opportunity involving advertising packages. Investors were allegedly instructed to purchase those packages by transferring cryptocurrency to wallets secretly controlled by Zimbardi. Thousands of investors ultimately sent more than $165 million to those wallets, prosecutors said.

Rather than using the money to purchase advertising packages, Zimbardi allegedly diverted a significant portion of the funds. More than $34 million was reportedly placed into risky foreign-currency trades, resulting in substantial losses. Prosecutors also allege that money from newer investors was used to pay earlier investors, a structure commonly associated with Ponzi schemes. The scheme eventually collapsed in August 2023, leaving investors without their invested funds.

Prosecutors say Zimbardi also used investor money for personal expenses. At least $10 million was allegedly spent on items including a house purchased for his son, luxury vehicles and alimony payments to his former wife.

The alleged use of investor funds for personal spending came alongside the losses from foreign-currency trading, further reducing the money available to sustain the investment operation, according to the indictment allegations.

Flight to Fiji

After The Crypto Program collapsed, Zimbardi allegedly traveled through Hawaii, Fiji and other locations. Prosecutors said he became aware of the FBI investigation and fled to Fiji in July 2025, where he remained for more than a year.

In May 2026, Zimbardi reportedly canceled plans to attend his son’s wedding in Virginia after suspecting that FBI agents would try to arrest him there.

Fijian authorities later learned of the U.S. charges against him and deported him to the United States on August 14. The operation involved coordination between Fijian authorities, the FBI and the U.S. Department of State.

What happens next

Zimbardi is scheduled to appear before a federal magistrate judge in Los Angeles. The U.S. government is expected to seek his detention in the custody of the U.S. Marshals Service while further proceedings take place in the Northern District of Georgia.

The FBI is asking people who invested in The Crypto Program to provide information about their involvement. Authorities said victims may later be contacted about further proceedings, including documentation that could be required for potential restitution.

The case shows the challenges of investigating crypto fraud involving large amounts of money and suspects who move across countries. The charges are only allegations, and Zimbardi is presumed innocent unless proven guilty in court. The investigation is ongoing.

Also Read: India’s ₹1,071 Cr Cybercrime Trail Reveals a Hidden Crypto Network

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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