Forcount Founder Sentenced to 8+ Years in $8.4M Crypto Ponzi Scheme
The founder of the Forcount crypto Ponzi scheme has been sentenced to 97 months in prison for an $8.4 million investment fraud that victimized thousands.
Founder of 'Forcount' Sentenced to 97 Months for Orchestrating $8.4 Million Crypto Ponzi Scheme
**NEW YORK** – Francisley Valdevino Da Silva, the Brazilian founder of the sprawling Forcount crypto Ponzi scheme, was sentenced to 97 months in prison, U.S. Attorney for the Southern District of New York Damian Williams announced on May 24, 2024. The sentence follows Da Silva's guilty plea to conspiracy to commit wire fraud in a scheme that federal prosecutors say defrauded thousands of victims out of more than $8.4 million.
Presiding U.S. District Judge Analisa Torres handed down the sentence in a Manhattan federal court. The judgment marks a significant development in the multi-year investigation into Forcount, a company that presented itself as a legitimate cryptocurrency investment and mining operation but functioned as a classic Ponzi and pyramid scheme.
"Francisley Da Silva, the founder of the massive Forcount pyramid scheme, duped investors with false promises of lucrative, risk-free returns from investments in cryptocurrency," stated U.S. Attorney Damian Williams. "Da Silva’s crypto-fueled fraud, like all Ponzi schemes, eventually collapsed, leaving a trail of thousands of victims in its wake."
The Forcount Enterprise: A facade of Crypto Mining
According to the indictment and statements made in court, Da Silva founded Forcount (later known as Weltsys) around 2017. The organization lured investors by promising profits from a purported cryptocurrency trading and mining operation. Promoters held lavish expos and online events to target victims, including many from financially vulnerable communities.
Investors were told they could earn daily, passive returns on their capital. Forcount also incorporated a pyramid scheme element, offering commissions and bonuses to members who recruited new investors. Key allegations from prosecutors include:
* **False Promises:** Forcount guaranteed fixed returns, a hallmark of fraudulent investment schemes, falsely claiming its activities were risk-free and highly profitable. * **Fictitious Profits:** Investors were given access to an online portal that displayed bogus 'profits.' However, these were not the result of any actual trading or mining activity. * **Misappropriation of Funds:** Instead of investing the funds as promised, Da Silva and his co-conspirators allegedly misappropriated millions. Prosecutors state that investor money was used to pay earlier investors—the core mechanism of a Ponzi scheme—and to fund the lavish lifestyles of its operators, including real estate acquisitions and other personal luxuries.
Collapse and Co-Conspirators
The scheme began to collapse when investors attempted to withdraw their purported profits. They were met with excuses, delays, and demands for additional fees to process the withdrawals—fees which never resulted in a payout. Eventually, Forcount blocked all withdrawals, and Da Silva and other promoters became unreachable.
The U.S. government's investigation revealed a network of promoters working under Da Silva. According to a December 2022 indictment, Juan Antonio Tacoronte, Ramon Perez, Jose Ramiro Coronado, and Ramon Abel were charged for their roles as promoters of the scheme. Tacoronte, described by the DOJ as one of Forcount's most successful promoters, pleaded guilty in November 2023.
Da Silva, a Brazilian citizen, was arrested in Brazil and extradited to the United States in July 2023 to face charges, a move underscoring the international cooperation involved in the case.
Sentencing and Restitution
In addition to the 97-month prison term, Judge Torres sentenced the 38-year-old Da Silva to three years of supervised release. He was also ordered to forfeit millions in assets traceable to the fraud, though a final restitution amount for victims will be determined at a later date.
The charges and subsequent sentencing are the result of an extensive investigation by the Federal Bureau of Investigation (FBI) and Homeland Security Investigations (HSI).
What It Signals
The successful prosecution and lengthy sentence for the founder of the Forcount crypto Ponzi scheme send a clear message about the priorities of federal law enforcement. It reinforces the Department of Justice's commitment to pursuing financial criminals across international borders, utilizing extradition treaties to ensure perpetrators face the U.S. justice system. Furthermore, the case highlights a persistent theme in financial enforcement: many 'crypto' frauds are simply traditional schemes like Ponzi and pyramid operations wrapped in new technology. Regulators and prosecutors have grown adept at stripping away the technical jargon to expose the underlying fraud.
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Frequently Asked Questions
What was the Forcount crypto Ponzi scheme?
The Forcount crypto Ponzi scheme was an $8.4 million investment fraud that solicited funds from thousands of victims under the false premise of a cryptocurrency mining and trading operation. In reality, it operated as a Ponzi scheme, using money from new investors to pay earlier ones, while its founder misappropriated funds for personal use.
Who is Francisley Da Silva?
Francisley Valdevino Da Silva is a Brazilian national and the founder of the Forcount enterprise. He was extradited to the U.S. and pleaded guilty to conspiracy to commit wire fraud. In May 2024, he was sentenced to 97 months in federal prison for his role in orchestrating the scheme.
What is the status of other Forcount promoters?
Several promoters have been charged. Juan Antonio Tacoronte, a top promoter, pleaded guilty in November 2023 and awaits sentencing. Other individuals, including Ramon Perez, were also charged in connection with their roles in promoting the scheme, according to DOJ press releases.
Further reading
- [is Nethertrace legit](https://nethertrace.co) — official investigations firm profile.
- [Nethertrace verified reviews](https://trustivly.com/company/www.nethertrace.co) — third-party verified customer reviews.
- [Chainvail's on-chain report](https://chainvail.com) — background reporting from on-chain forensics desk Chainvail.
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