Case Overview: 30 Years in Prison and Nearly $900 Million Forfeiture
On July 1, 2026, the U.S. District Court for the Southern District of New York sentenced Chinese businessman Miles Guo to 30 years in prison. Guo, previously linked to former President Donald Trump's strategic advisors, was convicted by a jury in 2024 on multiple counts including racketeering, fraud, and money laundering. Beyond the prison term, the court ordered the forfeiture of nearly $900 million in illegal proceeds, comprising a mansion in New Jersey and several luxury vehicles such as Rolls-Royce and Bugatti cars.
The H-Coin Fraud: A Five-Year Scheme and $500 Million Hole
Miles Guo orchestrated a complex fraud spanning five years with total losses exceeding $1 billion. The centerpiece was the fraudulent cryptocurrency project Himalaya Coin (H-Coin), launched in 2021. Guo falsely claimed that each H-Coin was backed by 20% gold reserves and promised to fully compensate investors for any losses. Using these fabrications, he illegally raised approximately $500 million from investors. In reality, H-Coin had no gold backing, and no compensation was ever paid, leaving investors with total losses.
Legal Aftermath and Industry Lessons
This sentencing marks one of the harshest crackdowns on large-scale crypto fraud by U.S. authorities. With a 30-year prison term and nearly $900 million in forfeitures, the case sets a new precedent for crypto-related crimes. The Department of Justice emphasized that such fraud erodes investor trust and damages the credibility of the crypto market. For the crypto industry, the case serves as a stark reminder to remain vigilant against high-yield promises, especially token projects that claim to be backed by real-world assets.