Crypto Scam Busted: Eugene Austin Gets 18 Years for $12 Million Fraud

According to an April 23 statement from the US Attorney's Office, the two deceived investors out of approximately $12 million by pretending to be brokers for large crypto deals and offering fake investment opportunities.

Eugene was convicted in September 2024 for conspiring to commit wire fraud, money laundering, and moving stolen funds across state lines. His son Brandon Austin, who helped carry out the scheme, had already received a four-year sentence.

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Eugene and Brandon promoted short-term crypto investments with the promise of high profits and said they could connect startups to wealthy private investors. More than 24 people fell for these offers.

They also told business owners and entrepreneurs that they could arrange purchases of large amounts of cryptocurrency. One deal alone was worth $5 million, and many others involved hundreds of thousands of dollars.

Instead of investing the money, the two spent it on personal luxuries. The funds were used to pay for high-end hotels, restaurants, shopping, and even a 2022 Jaguar SUV. They also made small payments to some victims to keep them from getting suspicious.

The court has ordered Eugene to forfeit $6,062,564 and to pay back a total of $12,662,564 in restitution. After serving his prison term, he will be subject to a three-year period of supervised release.

Meanwhile, US prosecutors have asked a New York judge to sentence Avraham "Avi" Eisenberg to over six years in prison. What was he found guilty of? Read the full story.