NFT Marketplace Founder Allegedly Diverts Millions In Investor Funds to Gambling And Personal Hobbies
The founder of a non-fungible token (NFT) marketplace has been charged with securities fraud and wire fraud after allegedly diverting millions of dollars from investors toward personal spending, including gambling, trading, and hobbies, rather than developing the promised platform.
Taj Tarsha, founder and sole equity owner of the NFT marketplace Few and Far, was charged by the U.S. Attorney’s Office for the Southern District of New York. Authorities allege that Tarsha raised $10 million from 67 investors by selling 95 million FAR coins, assuring them the funds would be used to develop and advance the NFT marketplace and the FAR token.
Instead, prosecutors claim Tarsha used the money for personal expenses, including a loan for a Miami condominium, interior design services, his DJ hobby, online gambling, and speculative crypto assets. He also allegedly drained $1 million of investor funds to pay himself two bonuses while maintaining a high salary.
The FAR token debuted in May 2024 but quickly lost all value and stopped trading.
Deputy U.S. Attorney Sean S. Buckley stated, “As alleged, Taj Tarsha raised millions of dollars from investors by promising that their investments would be used to build a marketplace for non-fungible tokens, but he instead breached their trust by stealing those funds for his own personal benefit. Investors are entitled to the truth when choosing to make an investment, and this Office and our law enforcement partners will hold business leaders responsible when they lie for their own gain.”
If convicted, Tarsha faces up to 20 years in prison on each count.