A federal grand jury in South Dakota has indicted 43-year-old Benjamin Paul Wiener, a crypto investor from Sioux Falls. He is charged with 29 counts of fraud, money laundering, and bank fraud. According to the investigation, the damage from his actions exceeds $20 million.
Scheme Details
According to the investigation, Wiener managed eight companies, most of which bore the name "Benaiah" (Benaiah Capital LLC, Benaiah Digital LP), as well as Aslan Management LLC and Runway Four10. Through these legal entities, he raised funds from investors, including in cryptocurrency. The investigation alleges that Wiener misled depositors by making false statements about the profitability and safety of the investments.
The key element of the scheme is a classic financial pyramid. When funds ran out or investors demanded returns, Wiener attracted new participants, using their money to pay off old depositors and cover personal expenses. Money laundering was conducted both through bank accounts and crypto exchanges, which, according to the prosecution, helped disguise the origin of the money and the true owner.
Bank Fraud
A separate episode concerns the defrauding of a bank in Sioux Falls. In April 2025, Wiener opened a $1 million line of credit by forging documents and using another person's personal data without their knowledge.
Context
Wiener's case is just one episode in a large-scale campaign by the U.S. Department of Justice against crypto fraud. In 2025, the agency brought similar charges against 265 individuals, estimating total damages at over $16 billion. Wiener's court hearing is scheduled for September 15, 2026. He is presumed innocent until the verdict and has been released on bail.
Expert Commentary
This case is a vivid example of how cryptocurrency, originally conceived as a tool for decentralization and transparency, is used to conceal the traces of classic financial crimes. Investors should remember: promises of "guaranteed" high returns are almost always a red flag, regardless of the packaging they come in. U.S. regulators are consistently tightening controls, and 2025 could be a record year for high-profile exposés.