IcomTech Promoter Sentenced to 71 Months for Multi-Million Dollar Crypto Ponzi Scheme

Odaily

Release Time:12/19/2025 08:02:24

A senior promoter of the IcomTech crypto Ponzi scheme, Magdaleno Mendoza, has received a 71-month federal prison sentence. He was also ordered to pay $789,000 in restitution and forfeit $1.5 million. Mendoza helped run the scheme between 2018 and 2019, targeting Spanish-speaking investors with promises of guaranteed returns from cryptocurrency trading and mining. The multilevel fraud used new investor funds to pay earlier ones. Mendoza and others hosted events to attract victims, spending their money on luxury items. The scheme collapsed in 2018 after withdrawal problems emerged. IcomTech later issued worthless tokens to quiet complaints. Mendoza also faces penalties for illegally staying in the U.S. after being deported multiple times.

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