The pitch and the payoff
Goliath marketed itself as a liquidity provider. Investors were told their money would sit in crypto pools and earn yield, with returns flowing back to them on a regular schedule. That pitch pulled in roughly $400 million, according to the complaint.
The reality was far less sophisticated. Money from new investors went straight to old ones — the defining structure of a Ponzi scheme. The filing doesn't allege the liquidity pools ever generated the returns Goliath advertised. Instead, the company's survival depended on a steady stream of new deposits to keep the payouts flowing.
Where the money went
The complaint describes a company that paid out early
