Judge Orders EminiFX Founder to Pay $228M After Ponzi Scheme Collapse

The US Commodity Futures Trading Commission (CFTC) secured a summary judgment against Alexandre and EminiFX, with District Judge Valerie Caproni holding them jointly liable for $228,576,962 in restitution and an additional $15,049,500 in disgorgement, according to Tuesday’s court filing.

The decision follows Alexandre’s guilty plea in a parallel criminal case, which had already resulted in a nine-year prison sentence and a $213 million restitution order.

EminiFX launched in 2021 and raised over $262 million from 25,000 investors in just eight months. The company promised weekly returns of up to 9.99% through a so-called “Robo-Advisor Assisted Account” supposedly using automated crypto and forex trading strategies. In reality, the platform never deployed the technology it advertised and suffered net losses of at least $49 million.

Investigators found Alexandre siphoned off at least $15 million for personal expenses, including luxury cars, credit card bills, and cash withdrawals. Investor withdrawals were instead funded using money from new participants, a hallmark of Ponzi operations.

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Alexandre’s downfall began in May 2022 when prosecutors and regulators filed parallel cases. In the criminal case, he admitted to commodities fraud and was sentenced in 2023. The civil case has now concluded with Caproni’s restitution and disgorgement order, though the court said restitution payments will offset his disgorgement obligations.

The court-appointed receiver, managing asset recovery since 2022, began distributing recovered funds to victims earlier this year after a January-approved payout plan.

The EminiFX case comes against the backdrop of a surge in crypto-related scams and hacks. Losses from fraud, hacks, and exploits totaled $2.47 billion in the first half of 2025, according to CertiK, underscoring ongoing risks for retail investors.

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