Federal law enforcement authorities arrested an Ohio resident on charges of defrauding investors using digital asset investments. According to the Department of Justice (DOJ), the principal suspect, Rathnakishore Giri, is accused of organizing a fraudulent scheme worth over $10 million.

The court document indicated that the 27-year-old paraded himself as a professional virtual currency trader with a keen interest in BTC derivatives. Giri allegedly lured investors with the promise that his operations would guarantee impressive returns without any risk to the trading capital.

Buoyed by his assurances, hundreds of investors sunk in funds in his illegal operations, but instead of trading, Giri allegedly used the funds to repay old investors in what prosecutors called the “hallmark” of the Ponzi scheme. The court filings indicate a string of trading failures by Giri and multiple instances of losing investors’ funds in previous projects.

Giri is charged with five counts of wire fraud and is staring at the possibility of 100 years in federal prison, 20 years on each count if convicted.

In August, the Commodities Futures and Trading Commission (CFTC) filed a cease-and-desist order against Giri and his entities for defrauding investigators. The CFTC Commissioner Kristin Johnson added that Giri misappropriated the funds to live an opulent lifestyle “characterized by the use of private jets, yacht rentals, an extravagant vacation home, a luxury car, and expensive…