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Braden John Karony was found guilty last year on multiple federal offenses and has been mandated to repay $7.5 million in restitution.
The previous CEO of SafeMoon has received a 100-month prison sentence, as reported by the U.S. Department of Justice. (Jesse Hamilton/CoinDesk)
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Key details:
- The former CEO of SafeMoon has been sentenced to 100 months in prison following a court ruling on Tuesday.
- Braden John Karony and his associates were charged and found guilty of diverting millions from their cryptocurrency business for personal benefit, including expenditures for extravagant lifestyles.
Braden John Karony, the former CEO of SafeMoon, is set to serve an 8-year prison term after being convicted last year on a series of federal charges related to defrauding investors in his digital asset venture.
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The 100-month sentence was issued on Tuesday in the U.S. District Court for the Eastern District of New York, and Karony is also required to forfeit $7.5 million along with two properties involved in the case.
“Karony deceived investors from various backgrounds — including military veterans and diligent Americans — and defrauded thousands of victims to purchase mansions, luxury cars, and custom vehicles,” remarked United States Attorney Nocella in a statement. “Our office will persist in rigorously prosecuting economic crimes that harm investors and undermine public trust in the stability and security of digital asset markets.”
According to the Department of Justice, Karony was involved in manipulating the price of the SafeMoon token and unlawfully controlling liquidity pools in the unsuccessful Utah-based enterprise, leading to the loss of millions of dollars. After a three-week trial, he was found guilty of conspiracy to commit securities fraud, wire fraud, and money laundering.
One of his co-conspirators, Thomas Smith, also admitted guilt in February 2025 to conspiracy to commit securities fraud and wire fraud, although he has not yet been sentenced. Another alleged SafeMoon co-conspirator, Kyle Nagy, remains at large and is being sought by authorities.
Read More: SafeMoon Execs Arrested by DOJ in Fraud Investigation, Charged by SEC
