The post Bitcoin faces DOJ as $200M PGI Ponzi draws 20-year term appeared on BitcoinEthereumNews.com.

Ramil Ventura Palafox receives 20-year sentence for PGI Bitcoin Ponzi scheme A U.S. judge sentenced Ramil Ventura Palafox, founder of Praetorian Group International (PGI), to 20 years in prison for a PGI Bitcoin Ponzi scheme, according to the U.S. Department of Justice. He was convicted of wire fraud and money laundering after PGI raised about $201 million from more than 90,000 investors. Prosecutors described promises of 0.5–3% daily returns and a referral-driven structure, adding that investor funds were diverted to personal spending. The court ordered approximately $62.7 million in restitution to victims. The ruling formalizes accountability in a case that blended classic Ponzi mechanics with crypto branding. It also reinforces that criminal liability attaches to deceptive fundraising practices regardless of the underlying asset’s technology. Why this $200 million crypto fraud case matters now The case illustrates how guaranteed daily returns, opaque trading strategies, and multi-level referral incentives can mask circular payouts funded by new deposits. It also shows courts will separate headline inflows from verified victim losses for restitution. At the time of this writing, Coinbase (COIN) was quoted at 166.00 in after-hours trading, up 1.02%, based on data from Yahoo Scout (NasdaqGS delayed quote). market context does not alter legal outcomes, but heightened trading interest can increase investor exposure to similar schemes. BingX: a trusted exchange delivering real advantages for traders at every level. Restitution prioritizes verified victims and is limited by recoverable assets. Payments typically flow through the court’s processes and any related forfeiture or remission pathways; timelines vary by asset recovery and claims validation. In a trade press summary of the case’s restitution math, the following phrasing captures the distinction between total inflows and net losses: “Victims’ losses have been estimated at $62.7 million in restitution, though the larger figure of $201 million reflects total raised, some…

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Filed under: News - @ February 15, 2026 1:07 am