$20 million crypto pyramid: American investor faces charges in 29 counts
A federal grand jury in the United States has indicted 43-year-old Benjamin Paul Weiner from Sioux Falls. He is charged with a massive fraudulent scheme that resulted in victims losing approximately $20 million. This case is another link in a chain of high-profile investigations where cryptocurrencies are used not as an innovative asset, but as a tool to conceal the traces of crimes.
What is he being charged with?
The indictment includes 29 counts. Weiner is charged with wire fraud, money laundering, bank fraud, and unlawful use of personal data. Last week, he pleaded not guilty and was released on bail pending trial, which is scheduled for September 2026.
The scheme involving eight companies
Prosecutors allege that Weiner raised funds, including in digital currency, through a network of eight companies under his control. Most of them bore the name "Benaiah" — for example, Benaiah Capital LLC and Benaiah Digital LP. Also mentioned are Aslan Management LLC and Runway Four10. According to the indictment, he misled investors by making false statements about returns and guarantees.
The mechanism resembles a classic Ponzi scheme: when funds ran out or investors demanded repayment, Weiner attracted new participants, using their money to pay off earlier investors and cover personal expenses. The victims, it is alleged, are located in South Dakota and Minnesota.
Money laundering through banks and crypto exchanges
Of particular interest is the method of laundering criminal proceeds. Prosecutors believe that money laundering was conducted both through traditional banks and through cryptocurrency exchanges. The intermingling of fiat and digital assets, according to the indictment, helped disguise transactions and the true owner of the funds.
Additionally, in April 2025, Weiner allegedly defrauded a bank in Sioux Falls by opening a $1 million line of credit. To do this, he forged documents and used other people's personal data without their knowledge.
Context: a wave of prosecutions
Weiner's case adds to a series of increasingly frequent trials involving investment fraud and the use of cryptocurrencies to siphon off funds. In 2025, the U.S. Department of Justice brought similar charges against 265 defendants, estimating total damages at over $16 billion.
Analyst's opinion: Another high-profile case clearly demonstrates that U.S. regulators have moved from warnings to active enforcement. Investors should be extremely cautious: high returns and attractive promises are almost always the first sign of a pyramid scheme. Cryptocurrency only complicates tracing but does not make the scheme any less risky.