Steve Chen
Founder and CEO of USFIA, which sold the gemstone-'backed' GemCoin. He fraudulently obtained ~$147M from 72,000 investors in one of the largest pyramid schemes prosecuted in the Central District of California; pleaded guilty and sentenced in 2021 to 10 years.
Also known as: Li Chen, Boss
Bio
Steve Chen (a.k.a. "Li Chen" / "Boss"), of Bradbury, California, owned and ran U.S. Fine Investment Arts (USFIA) and related companies. He promoted nonexistent amber/gemstone mines and the GemCoin digital currency supposedly backed by them, raising ~$147 million from about 72,000 victims (2013–2015). [1][2]
Legal outcome
The SEC charged Chen and his entities in 2015 (asset freeze, receivership). He pleaded guilty in June 2020 to conspiracy to commit wire fraud and tax evasion and, in January 2021, was sentenced to 120 months (10 years) plus ~$1.885M in back taxes. [1][2]
Bracketed numbers refer to the numbered sources listed below.
Linked scams & cases
Sources (2)
See also
Luke BelmarIndividualsCryptocurrency influencer Luke Belmar (@lukebelmar on X) became the subject of controversy following allegations related to the promotion of a memecoin. Critics on social media alleged that Belmar used a series of posts referencing a forthcoming cryptocurrency project and a large-scale airdrop to generate interest in a token without explicitly identifying a specific contract address. Belmar published multiple posts discussing an upcoming memecoin, describing plans for what he characterized as a major airdrop and making comparisons to other cryptocurrency projects. Because no contract address was publicly provided, several tokens emerged claiming association with his statements. Critics alleged that this ambiguity enabled speculation around multiple tokens while avoiding a direct endorsement of any particular asset.
HEX / PulseChain (Richard Heart)ProjectsCrypto projects (HEX, PulseChain, PulseX) created by Richard Heart (Richard Schueler). In July 2023 the U.S. SEC sued him for offering unregistered securities that raised $1B+ and for allegedly misappropriating ~$12M for luxury goods (including a 555-carat diamond). A court dismissed the case in 2024 for lack of U.S. jurisdiction; there was no finding of wrongdoing and Heart denies the allegations.
This page was last updated on Jun 15, 2026. View revision history.
