A Houston man who ran a cryptocurrency scheme that lured nearly 1,000 investors with false claims of massive gold and art holdings has been sentenced to 23 years in federal prison, per an April 16 press release from the U.S. Attorney’s Office for the Northern District of Illinois.
Robert Dunlap, 55, was convicted last year by a federal jury in the Northern District of Illinois of mail fraud for operating what he called the “Meta-1 Coin Trust.”
From 2018 to 2023, he told investors the digital asset was backed by as much as $1 billion in art and $44 billion in gold, including works by Pablo Picasso, Salvador Dali, and Vincent Van Gogh.
Dunlap falsely claimed that an accounting firm had audited the gold and created bogus legal documents to conceal that he did not actually own the assets.
The scam caused victims to lose more than $20 million, with many losing their entire savings.
U.S. District Judge LaShonda A. Hunt also ordered Dunlap to pay restitution. Assistant U.S. Attorneys Jared Hasten and Paige Nutini wrote in the government’s sentencing memorandum that Dunlap repeatedly lied to investors.
“Defendant lied to investors for years, telling them that he had created a safe investment for them,” they said. “Over the years, defendant was unrepentant, and his lies became bigger. Would-be criminals planning to engage in similar conduct need to know that such actions will be met with a serious repercussion that includes loss of one’s liberty for an extended period of time.”
IRS Criminal Investigation Special Agent in Charge Adam Jobes said the fraud went far beyond financial loss.
“Robert Dunlap didn’t just take money — he took years of hard work, trust, and financial security from his victims,” Jobes said.
The case was prosecuted by the U.S. Attorney’s Office for the Northern District of Illinois with assistance from the FBI, IRS Criminal Investigation, the Securities and Exchange Commission, and the U.S. Attorney’s Office for the Eastern District of Virginia.
