Dylan Meissner, the former VP of finance at Delphi Digital, has been sentenced to four years in prison for embezzlement. The Department of Justice confirmed this news.
According to court records, Meissner pleaded guilty. He’s not the first employee in the crypto world to misuse their position for personal gain.
A judge in Connecticut ordered him to pay back $4.6 million to Delphi Digital. This amount includes the money he stole and an unpaid loan. After his prison term, he will undergo two years of supervised release.
Anil Lulla, the co-founder and CEO of Delphi Digital, stated that Meissner had violated the trust of his colleagues. He described the betrayal as significant.
Back in January 2022, Delphi Digital loaned Meissner 50 Ether, which is now worth around $192,000. Meissner claimed he needed the funds to recover from personal losses in crypto investments. However, he never repaid the loan and went on to siphon off nearly $4.5 million more from the company. To cover his tracks, he created false entries in the accounting records and redirected funds meant for bonuses.
Meissner was fired in November 2022. He later pleaded guilty to fraud in July 2024. Interestingly, the Department of Justice referred to Delphi Digital as “Company A” in their documents. Yet, during sentencing, Meissner's lawyer consistently identified the company as “Delphi.”
Lulla shared that they discovered Meissner's fraudulent activities during the week of the FTX collapse. They acted quickly, terminating his employment and reporting him to the authorities. Meissner’s lawyer, Roger Stavis, did not comment when approached.
This situation isn’t unique. Other crypto employees have also found themselves in trouble for similar actions. For example, Nate Chastain, a former employee at OpenSea, received a three-month prison sentence for what the DOJ called the first case of NFT insider trading. Additionally, Ishan Wahi, a former Coinbase employee, was sentenced to two years for tipping off his brother and friend about upcoming cryptocurrency listings.