On May 21, 2025, a jury in the U.S. District Court for the Eastern District of New York convicted Braden John Karony, the former CEO of SafeMoon, of three felony charges. The charges include conspiracy to defraud the United States, money laundering, and wire fraud.
The case against Karony took about two weeks to try. Prosecutors alleged that Karony, along with former Chief Technology Officer Thomas Smith and project founder Kyle Nagy, misappropriated millions of dollars’ worth of SFM tokens between 2021 and 2022. Smith has pleaded guilty and testified against Karony, while Nagy is on the run and is believed to be in Russia.
Karony maintained his innocence throughout the trial. The jury will determine his asset forfeiture penalty in the future, and the sentencing date has not been announced. According to Protos, he could face 20 years in prison.
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