(KRON) — Two Bay Area business executives of the now-bankrupt cryptocurrency lender Cred LLC, were sentenced to years in federal prison Friday for an investment-fraud scheme that cost their customers and investors more than $1 billion in lost cryptocurrencies, according to the Department of Justice.

Cred LLC’s former CEO, 55-year-old Daniel Schatt of San Mateo, and former CFO, 53-year-old Joseph Podulka of Palo Alto, were sentenced to 52 months and 36 months in federal prison, respectively. Schatt and Podulka were both indicted by a federal grand jury in May of 2024. On May 13, the pair pleaded guilty to one count of wire fraud conspiracy for their roles in defrauding Cred customers.

“According to the plea agreements, Schatt and Podulka conspired to present an incomplete, unreasonably po

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