According to Cointelegraph, SafeMoon CTO Thomas Smith pleaded guilty in federal court in Brooklyn to one count of cryptocurrency fraud. Smith pleaded guilty to two counts of securities fraud conspiracy and wire fraud conspiracy, which carry a maximum sentence of 25 and 20 years, respectively. The Department of Justice and the Securities and Exchange Commission accused Smith of participating in fraud along with SafeMoon CEO Braden John Karony and founder KyleNagy. Prosecutors say the trio falsely claimed to investors that the liquidity of SafeMoon (SFM) tokens was locked and inaccessible, when in fact they were able to access and misappropriate more than $200 million for personal purposes such as buying luxury cars and real estate.