Jeremy Jordan-Jones, the founder of Amalgam Capital Ventures, has been charged by federal prosecutors with masterminding a fraudulent scheme that defrauded investors of over $1 million by posing as a ground-breaking blockchain company.
Jordan-Jones was arrested on May 21 and faces multiple charges, including wire fraud, securities fraud, making false statements to a financial institution, and aggravated identity theft, according to the U.S. Department of Justice.
U.S. Attorney for the Southern District of New York Jay Clayton stated, “Jordan-Jones touted his startup as a game-changing blockchain company. In truth, the operation was a sham, designed to funnel investor money into his personal luxuries.”
FBI Assistant Director Christopher Raia echoed the sentiment, alleging that Jordan-Jones lured investors with false promises about Amalgam’s capabilities, strategic partnerships, and business plans. “His blatant lies not only deceived investors but funded his extravagant lifestyle,” said Raia.
According to court documents filed in Manhattan federal court, from January 2021 to November 2022, Jordan-Jones allegedly used fabricated documents, forged sports sponsorships, and false claims to convince investors and banks of Amalgam’s legitimacy. The firm purported to offer point-of-sale systems and blockchain-powered security solutions but had “no operable products, few—if any—clients, and no valid business relationships,” the indictment states.
Rather than channeling investor funds into product development or crypto exchange listings as advertised, Jordan-Jones allegedly splurged on luxury cars, designer clothing, upscale Miami restaurants, and lavish vacations.
In one instance, prosecutors allege that Jordan-Jones submitted a fake bank statement showing a balance of over $18 million in Amalgam’s account to obtain a company credit card. In reality, the account had been closed months earlier and held no funds.
The charges carry severe penalties: making false statements to a bank could result in a 30-year sentence, and wire and securities fraud could result in up to 20 years in prison per count. A minimum of two years is also required for the charge of aggravated identity theft.
Any assets connected to the scam, such as upscale products or real estate purchased with the stolen money, are being sought by federal authorities to be forfeited.
The investigation is still ongoing, and Jordan-Jones has not yet entered a plea.
