Catenaa, Friday, March 21, 2025 – A Brooklyn-based podcaster and self-proclaimed cryptocurrency expert was sentenced to 45 months in prison for defrauding investors out of more than $1.3 million, federal prosecutors announced Monday.
Details can be found at the DoJ website here.
Thomas John Sfraga, also known as “T.J. Stone,” was sentenced by US District Judge Frederic Block and ordered to forfeit $1,337,700.
The restitution amount will be determined later. Sfraga pleaded guilty to wire fraud in May 2024.
“Sfraga callously stole from friends, neighbors, and even parents of children who played on teams with his own,” U.S. Attorney John J. Durham said in a statement. “There was nothing funny about his use of a Seinfeldian company, Vandelay Industries, to carry out this fraud.”
Prosecutors say that between 2016 and 2022, Sfraga posed as a successful entrepreneur, claiming to own multiple businesses, including Build Strong Homes LLC and Vandelay Contracting Corp., a name reminiscent of the fictional “Vandelay Industries” from Seinfeld.
He promoted himself as an expert in real estate, media, and cryptocurrency, even emceeing events in New York’s crypto scene.
Authorities say Sfraga convinced at least 17 victims to invest in fake business ventures, promising returns of up to 60% in three months.
One victim lent him $100,000 for a nonexistent construction project, while another invested in a fake cryptocurrency “virtual wallet.”
Instead of funding projects, Sfraga used the money for personal expenses and to pay off earlier investors.
After victims filed lawsuits, Sfraga fled to Arizona under a false identity and was later arrested in Las Vegas for skipping out on a casino bill. He was extradited to New York and charged with wire fraud.
