Former Crypto Firm Executive Agrees to Plead Guilty to $4.6M Fraud Scheme

On Thursday, July 18, 2024, Dylan Meissner agreed to plead guilty to one count of wire fraud in exchange for provisions outlined in a plea agreement with prosecutors.

Meissner, who was formerly the Vice President of Finance at a cryptocurrency research company, allegedly devised and engaged in a scheme to defraud his employer of millions of dollars from February to November 2022. According to the stipulation of offense conduct, Meissner misappropriated funds intended for analyst bonuses and vendor payments, as well as diverting payments from the company’s affiliate, instead transferring the money to cryptocurrency wallets he controlled.

Prosecutors claim Meissner stole approximately $4.4 million from the company through falsifying financial records to cover up the missing money. He is also said to have taken out a 50 Ethereum (just over $170,000) loan from the company in January, purportedly to offset personal cryptocurrency losses, which has not been paid back. If convicted, Meissner faces a maximum sentence of 20 years in prison, although the plea agreement estimates sentencing guideline ranges from 51 to 97 months depending on loss calculations.

Under the plea deal, Meissner agreed to plead guilty to one count of wire fraud. In exchange, prosecutors will recommend a reduction in offense level for acceptance of responsibility. The agreement also establishes the fraud loss amount at $4.6 million, including the unpaid loan. Meissner waived his right to appeal if sentenced to 97 months or less in prison and agreed to pay full restitution.

However, the parties disagree on whether sentencing enhancements for sophisticated means and substantial financial hardship to victims should apply. The plea deal estimates guideline ranges based on both parties’ calculations. Meissner maintains he is only liable for actual losses caused, while prosecutors assert he should also be held responsible for reasonably foreseeable losses resulting from his actions.

If accepted by the court, the plea agreement would resolve Meissner’s criminal liability for his role in the alleged cryptocurrency-related fraud.

Please contact BlockTribune for access to a copy of this filing.