TechFlow news, May 22 — According to Cointelegraph, former SafeMoon CEO Braden John Karony was convicted on three felony counts by a jury at the U.S. District Court for the Eastern District of New York, including conspiracy to defraud the United States, money laundering, and wire fraud.
Prosecutors alleged that Karony conspired with former CTO Thomas Smith and platform founder Kyle Nagy to misappropriate and steal millions of dollars worth of SFM tokens. Smith has pleaded guilty and testified during the trial, while Nagy is reported to have fled to Russia.
The case is seen as a benchmark for Assistant U.S. Attorney Joseph Nocella’s handling of digital asset and fraud cases. Karony’s sentencing date has not yet been set, but he could face years in prison.
