The founder of crypto fund Translunar has been sentenced to 37 months in prison for tax evasion, involving the concealment of $7 million in income.

Odaily reported that Justin Ryan Schmidt, founder of the crypto investment fund Translunar Crypto LP, has been sentenced to 37 months in prison by a United States court for tax evasion. The U.S. Department of Justice stated that the 46-year-old Schmidt pleaded guilty this year in federal court in Austin, Texas. He was accused of underreporting his income from 2020 to 2022, declaring less than $5,000, while prosecutors allege that he actually earned over $7 million from his fund's operations between 2019 and 2022. Schmidt founded Translunar in 2017, primarily investing in blockchain startups, with the majority of capital coming from investors in Austin, Texas, and Aspen, Colorado. The Internal Revenue Service Criminal Investigation division arrested him on February 23, 2026, and he has been detained since then. (Bloomberg)