Cryptocurrency Investment Firm Founder Sentenced for $9.4 Million Ponzi Scheme

The sentencing of Travis Ford, founder and chief executive of Wolf Capital Crypto Trading LLC, underscores the persistent risks posed by high-yield cryptocurrency investment schemes and the growing determination of U S authorities to clamp down on digital-asset fraud. Ford was handed a five-year prison term on 13 November 2025 after admitting to orchestrating a Ponzi-style operation that raised 9.4 million dollars from around 2,800 investors, many of whom were lured by claims of daily returns as high as two percent.

According to court filings, Ford positioned himself as a skilled crypto trader capable of delivering extraordinary profits, despite knowing such performance was unattainable on a sustained basis. Investors were enticed through a polished online presence, including the firm’s website and social media activity, creating the illusion of legitimacy. In reality, Ford diverted funds for personal use and enriched his co-conspirators, leaving investors to absorb the losses once the scheme collapsed. His guilty plea in January 2025 to conspiracy to commit wire fraud paved the way for this week’s sentence, which includes over one million dollars in forfeiture and more than 170,000 dollars in restitution.

The U S Postal Inspection Service led the investigation, with the Justice Department’s Fraud Section bringing the prosecution. The case serves as a timely reminder that fraudsters continue to exploit the volatility, opacity and hype surrounding digital assets. For regulators and compliance professionals, it highlights the ongoing need for robust due diligence, clear investor education and vigilant monitoring of crypto-linked investment products. Investors should also remain cautious of any scheme promising guaranteed or unusually high returns, particularly those marketed primarily through online channels.

This latest enforcement action reinforces the Department of Justice’s commitment to tackling financial crime in the digital asset space and signals to the market that deceptive crypto investment ventures will attract significant criminal penalties.

Read the press release here.