Edward Zimbardi, whom U.S. prosecutors accuse of operating a $165 million crypto Ponzi scheme, was returned to the United States on Aug. 14 after being deported from Fiji. He now faces a 25-count federal indictment in the Northern District of Georgia.
The charges include 12 counts of wire fraud, 12 counts of money laundering, and one count of conspiracy to commit money laundering. The allegations center on a venture called The Crypto Program, which prosecutors say drew in thousands of investors before collapsing in 2023.
Indictment follows deportation from Fiji
According to the case outlined by federal prosecutors, Zimbardi was deported from Fiji and brought back to the U.S. this month. Investigators allege he had fled to Fiji in July 2025 after The Crypto Program fell apart and investors were unable to recover their money.
A federal grand jury in the Northern District of Georgia returned the indictment that now forms the basis of the criminal case. Court proceedings are still at an early stage, with detention and trial dates yet to be determined.
How prosecutors say The Crypto Program worked
Prosecutors say Zimbardi created and promoted The Crypto Program between June 2022 and August 2023. The offering was presented as a way for customers to buy digital advertising packages that would generate guaranteed monthly returns of 25%.
Instead of sending money into a legitimate advertising business, investors were allegedly directed to transfer cryptocurrency to wallet addresses that Zimbardi secretly controlled. Prosecutors say thousands of investors sent more than $165 million in crypto to those wallets.
The government alleges the business did not operate as advertised and that deposits from newer participants were used to pay returns to earlier ones, a pattern authorities describe as consistent with a Ponzi-style scheme.
Alleged losses and spending of investor funds
The indictment also describes how investor money was allegedly used after it was collected. Prosecutors say more than $34 million was put into foreign currency trades that produced substantial losses.
They also allege that at least $10 million went to personal expenses. Those expenditures allegedly included a house for Zimbardi's son, luxury vehicles, and alimony payments to his former wife.
Those figures remain allegations at this stage of the case. Zimbardi has not entered a plea, and no response from the defense was available in the source account.
Collapse of the program and next steps
Authorities say The Crypto Program collapsed in August 2023, leaving investors unable to withdraw or recover their funds. That collapse appears to be the central point at which the alleged scheme unraveled for participants.
The criminal case is ongoing in federal court in Georgia. The next confirmed steps are proceedings to determine whether Zimbardi will be detained pending further action and when the case will move toward trial.
Source: crypto.news