Charged With Cryptocurrency or Digital Asset Crime?
You Need a Defense Attorney Who Understands the Technology — Not Just the Law.
Federal prosecutors and regulators are aggressively pursuing cryptocurrency fraud, NFT schemes, money laundering through digital assets, and related blockchain-based offenses. Most criminal defense attorneys do not understand the technology well enough to challenge the government's case effectively. Carlo D'Angelo testified before the U.S. Treasury on cryptocurrency regulation, has published scholarly work on digital asset crime, and brings both legal and technical depth to every crypto case he defends.
The Growing Federal Crackdown on Crypto Crime
The Department of Justice, SEC, CFTC, FinCEN, and IRS Criminal Investigation division have all significantly expanded their cryptocurrency enforcement operations. Prosecutors are applying decades-old wire fraud, money laundering, and securities fraud statutes to new digital asset conduct — often stretching the law beyond its intended scope.
Carlo D'Angelo defends clients facing charges including cryptocurrency fraud and Ponzi schemes, NFT wash trading and market manipulation, DeFi protocol exploitation, money laundering through mixers and privacy coins, failure to register as a money services business (MSB), tax evasion involving unreported cryptocurrency gains, and RICO charges involving blockchain-based activity.
These are highly technical cases. The government's blockchain analysts and expert witnesses need to be challenged by someone who actually understands on-chain tracing, wallet attribution, consensus mechanisms, and the regulatory ambiguity that permeates this space. Carlo brings that depth.
Penalties in Cryptocurrency Crime Cases
Wire Fraud (18 U.S.C. § 1343)
• Up to 20 years per count — each wire transmission is a separate count
• Federal forfeiture of all proceeds traceable to the fraud
Money Laundering (18 U.S.C. §§ 1956–1957)
• Up to 20 years (§ 1956 — laundering with intent to promote)
• Up to 10 years (§ 1957 — transactions over $10,000 in proceeds)
• Civil and criminal forfeiture of all involved assets
Securities Fraud / Unregistered Securities Offerings
• SEC civil penalties: disgorgement, injunctions, bars from serving as officer or director
• Criminal securities fraud: up to 20 years under 15 U.S.C. or 18 U.S.C. § 1348
Tax Evasion on Crypto Gains
• Unreported cryptocurrency income is taxable; willful failure to report is a federal crime
• Tax evasion: up to 5 years; tax fraud: up to 3 years per count
Civil asset forfeiture in cryptocurrency cases is particularly aggressive — the government can freeze and seize wallets, exchange accounts, and fiat proceeds at the outset of an investigation, often before any charges are filed.
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Carlo's Approach to Crypto Crime Defensey
Challenging Blockchain Attribution
The government's chain analysis (typically performed by Chainalysis or CipherTrace) attempts to link wallet addresses to specific individuals. These probabilistic attribution methods have significant margins of error and are subject to challenge. Carlo retains independent blockchain forensic experts to scrutinize the government's tracing methodology and challenge attribution of addresses to his clients.
Regulatory Ambiguity as a Defense
Much cryptocurrency regulation operates in legal gray areas. Many defendants charged with failure to register as an MSB or with operating an unlicensed money transmitting business genuinely lacked notice that their conduct was regulated. Carlo develops good-faith and lack-of-willfulness defenses based on the evolving and often contradictory regulatory guidance from FinCEN, the SEC, and the CFTC.
Contesting the Fraud Theory
Wire fraud requires proof of a scheme to defraud and intent to harm victims. Many cryptocurrency projects that failed — and many NFT ventures that lost value — did not involve fraudulent intent. Carlo challenges the government's narrative by presenting evidence of genuine business intent, disclosed risks, and the inherently speculative nature of crypto markets.
Asset Forfeiture Defense
Carlo challenges pre-indictment asset restraints, contests the traceability of seized cryptocurrency to any alleged offense, and litigates forfeiture to protect his clients' legitimate assets throughout the prosecution.
Frequently Asked Questions
Q: Is cryptocurrency traceable?
Yes — blockchain transactions are permanently recorded on a public ledger, and government contractors like Chainalysis can trace transaction flows across wallets. However, tracing a wallet to a specific person requires additional evidence, and the attribution methods used carry significant uncertainty. Carlo challenges these methods in every case.
Q: Can I be charged with money laundering for using a crypto mixer?
Federal prosecutors have charged users of cryptocurrency mixing services under 18 U.S.C. § 1956. The viability of these charges depends on whether the government can prove knowledge that the mixed funds represented proceeds of a specified unlawful activity. Carlo evaluates the strength of the government's knowledge evidence in every case.
Q: What should I do if the government freezes my crypto accounts?
Contact Carlo immediately. Pre-indictment asset restraints in crypto cases are often obtained ex parte — without notice to the account holder. Carlo can move to lift or modify asset restraints, challenge the government's tracing theory, and protect your access to legitimate assets throughout the investigation.
Q: Are NFT transactions subject to securities laws?
It depends. The SEC has taken the position that certain NFT offerings constitute unregistered securities offerings under the Howey test. The analysis is fact-specific and legally contested. Carlo has published on this issue and defends clients navigating the intersection of digital asset innovation and federal securities regulation.
Crypto Crime Defense Requires More Than Legal Experience. It Requires Technical Expertise.
Carlo D'Angelo testified before the U.S. Treasury, published scholarship on digital asset crime, and defends cryptocurrency cases with the technical depth the government's own experts face. Call now.