US DOJ may drop charges against BitClub founder in $722M fraud case

The U.S. Department of Justice (DOJ) is considering dropping criminal charges against Matthew Goettsche, the founder of the crypto mining investment scheme BitClub, Bloomberg reported. BitClub is accused of defrauding investors of approximately $722 million between 2014 and 2019. In a letter to New Jersey federal court Judge Claire Cecchi, Goettsche's lawyer stated that an agreement in principle has been reached with prosecutors to dismiss the indictment, with the parties now finalizing the specific terms. Goettsche was indicted in December 2019 and was scheduled to face trial this October on charges including conspiracy to commit wire fraud and the sale of unregistered securities. If the charges are ultimately dropped, the decision could represent a significant turning point in the history of U.S. cryptocurrency regulation and law enforcement.