Former SafeMoon CEO Convicted in $2B Crypto Fraud Case

Braden Karony, once the public face of SafeMoon, has been found guilty in a major fraud case involving the misuse of billions in investor funds.

A jury in New York returned a guilty verdict on multiple charges, including wire fraud, money laundering, and conspiracy, tying him to a sweeping scheme that turned investor trust into personal profit.

According to court documents, Karony used the SafeMoon platform as a vehicle to mislead the public, falsely promoting the project as a secure investment while draining funds from its liquidity pools. The money was allegedly funneled into luxury real estate, expensive cars, and other high-end purchases—far from the transparent ecosystem SafeMoon claimed to be building.

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Investigators revealed that Karony, alongside key figures in the company, redirected millions meant for development and stability. While Karony denied wrongdoing, a former executive admitted guilt and testified against him. Another co-founder reportedly fled the country and is believed to be in Russia.

The conviction comes amid a broader crackdown on crypto-related fraud, following recent high-profile cases involving other digital asset executives. Authorities warn that such cases reveal a pattern of deception hidden behind flashy branding and technical jargon.

In the wake of the trial, SafeMoon’s token (SFM) dropped by 10% in a single day, continuing a month-long slide. Despite the decline, trading volume briefly rose—possibly reflecting speculative interest or panic trading.

Karony’s sentencing has yet to be scheduled, but he faces a potential 45-year prison term. The SafeMoon case now stands as a stark example of how crypto hype can be weaponized for personal gain, leaving retail investors footing the bill.

Alexander Stefanov