Former Rugby Player Shane Donovan Moore Sentenced to 2.5 Years for $900,000 Ponzi Scheme Disguised as a Cryptocurrency Mining Business.
A former semi-professional rugby player has been sentenced to two and a half years in federal prison after orchestrating a $900,000 Ponzi scheme under the guise of a cryptocurrency mining business.
According to a Department of Justice statement, Shane Donovan Moore operated Quantum Donovan LLC between January 2021 and October 2022, defrauding over 40 investors.
Many of the victims were fellow rugby players from states including Washington, Utah, Oregon, Connecticut, and New Jersey.
How Did the Scam Happen?
The scam was carried out as a smooth operation in which Moore promised investors consistent daily returns of 1%, claiming the funds would be invested in crypto mining rigs.
However, he diverted the money into personal accounts to finance a lavish lifestyle, including the purchase of luxury apartments, designer luggage, and high-end electronics.
Moore also tactfully used some investor funds to pay earlier participants, furthering the illusion of profitability to sustain the Ponzi operation.
Acting U.S. Attorney Teal Luthy Miller said,
“Moore used the newness of cryptocurrency to commit an age-old fraud, a Ponzi scheme. He left a path of damaged relationships in his wake.”
U.S. District Judge Tana Lin, during sentencing, highlighted the emotional and psychological toll inflicted on victims, in addition to their financial losses.
Victims collectively lost more than $387,000, as Moore exploited the trust inherent in the close-knit rugby community.
A Broader Trend of Crypto Fraud
This sentencing comes amid intensified efforts to combat crypto investment fraud. Over $2.17 billion in cryptocurrency has been stolen so far in 2025, surpassing theft totals from the previous year.
Experts note that crypto-related scams continue to evolve, exploiting new technology while relying on traditional fraudulent schemes.
To add insult to injury, crypto detective ZachXBT reports that crypto companies worldwide may have unknowingly hired over 900 North Korean hackers into the cryptocurrency ecosystem.