Kristijan Krstic, Cryptocurrency Scheme, New York 2026
A Serbian man has been charged in an indictment with participation in a coordinated cryptocurrency scheme in which he solicited U.S. investors using two fraudulent online investment platforms.
According to the indictment, Kristijan Krstic, 45, was the founder of two digital-asset investment platforms, 'Start Options' and 'B2G,' and also served as the chief financial officer of Start Options.
Between approximately 2017 and 2018, Krstic and others allegedly fraudulently induced U.S.-based investors to purchase securities in the form of investment contracts in Start Options and B2G.
The indictment alleges that Start Options purported to be an online investment platform that provided cryptocurrency mining and digital-asset trading services, including trading in cryptocurrencies, commodities, stocks, and indices.
Start Options also allegedly claimed that it was 'the largest Bitcoin exchange in euro volume and liquidity' and that it was 'consistently rated the best and most secure Bitcoin exchange by independent news media.'
Krstic and others represented that once investors opened a B2G account, a deposit of B2G 'opened a door to all the curtains inside Aladdin's cave. Dollars buy B2G; B2G tokens can be exchanged back into dollars, or for Euros, or for other national fiat currencies.'
According to the indictment, however, both Start Options and B2G were fraudulent. In truth, the money sent by investors in Start Options and B2G was allegedly laundered internationally to a Phillippines-based financial account and digital-currency wallet, and diverted to a U.S.-based promoter of the fraud.
Krstic and others allegedly represented that the money sent by investors would be invested, but in reality, the money was never invested and was instead used to fund the promoters' lifestyles.
The former Director of North American Operations for Start Options and B2G, John DeMarr, 55, of Santa Ana, California, was previously charged for his role in the scheme.
Krstic was charged in an indictment with one count of conspiracy to commit securities fraud, one count of securities fraud, one count of conspiracy to commit wire fraud, and one count of conspiracy to commit money laundering.
The charges in the indictment are based on allegations, and the defendants are presumed innocent unless and until proven guilty.
This case was investigated by the FBI and IRS-CI.
Trial Attorney Kevin Lowell of the Criminal Division's Fraud Section and Assistant U.S. Attorneys Kaitlin Farrell, Hiral Mehta, and David Pitluck of the Eastern District of New York are prosecuting the case, with assistance on forfeiture matters from Assistant U.S. Attorney Laura Mantell.
The indictment alleges that Krstic and others laundered approximately $7 million in investor funds to a Phillippines-based financial account and digital-currency wallet and to a U.S.-based promoter of the fraud.
Key Facts
- State: New York
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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