Former SafeMoon CEO Sentenced to Eight Years in Prison for Defrauding Investors According to The Block, the U.S. Attorney’s Office for the Eastern District of New York announced on Tuesday that former SafeMoon CEO Braden John Karony has been sentenced to over eight years in prison for defrauding investors. He has also been ordered to forfeit approximately $7.5 million and two residential properties. The SafeMoon project launched its token in 2021, with its market cap once exceeding $8 billion. The token’s transactions included a 10% tax mechanism, with half of the tax revenue supposedly allocated to the liquidity pool. However, prosecutors accused Karony and his accomplices of fraudulently siphoning millions of dollars from the liquidity pool for personal use. Accomplice Thomas Smith pleaded guilty in February 2025 and is awaiting sentencing, while another accomplice, Kyle Nagy, remains at large.