Founder of the crypto investment fund Translunar sentenced to 37 months in prison for tax evasion

July 29th, according to Bloomberg, the U.S. Department of Justice stated that Justin Ryan Schmidt, the founder of a cryptocurrency investment hedge fund, has been sentenced to 37 months in prison for tax evasion after renouncing his U.S. citizenship.

Schmidt, 46, was sentenced on Monday in a federal court in Austin, Texas. Earlier this year, he pleaded guilty. Schmidt had operated the hedge fund Translunar Crypto LP, which focused on cryptocurrency investments.

Prosecutors stated that between 2020 and 2022, he falsely reported personal income of less than $5,000, while in reality, he received over $7 million in income from the hedge fund between 2019 and 2022.