The U.S. Department of Justice is seeking to dismiss fraud charges against Matthew Goettsche, founder of BitClub Network, in a case tied to $722 million in investor funds. Court filings show the two sides have reached an agreement in principle, though they still need more time to finalize the terms.
The case had been scheduled to go to trial in October. Prosecutors had accused BitClub Network of defrauding investors between 2014 and 2019 through what was described as a fake mining platform. Goettsche was indicted in December 2019, while three of his associates have already pleaded guilty.
According to the report cited by Techub News, the move to dismiss follows an April 2025 memo from the deputy attorney general that called for ending what it described as a strategy of "regulation by prosecution" toward the digital asset industry. The development marks a notable shift in how the DOJ is handling at least some crypto-related criminal cases.
DOJ moves to dismiss the case
The U.S. Department of Justice is seeking to drop fraud charges against BitClub Network founder Matthew Goettsche. Court filings show the parties have reached an agreement in principle, but need more time to finalize the terms.
The case involves $722 million in investor funds and had been set for trial in October.
What the case alleged
BitClub Network was accused of defrauding investors from 2014 to 2019 through a fake mining platform. Goettsche was indicted in December 2019. Three of his associates have pleaded guilty.
Why the dismissal is being sought
According to the report cited by Techub News, the dismissal follows an April 2025 memo from the deputy attorney general calling for an end to "regulation by prosecution" in cases involving the digital asset industry. Cointelegraph was cited as the source of the report.
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