A year after thousands of Americans found their savings frozen in a high-yield financial app, some victims are finally starting to see their money again.
Brendan Murphy, a resident of Lindenhurst, Illinois, was one of the lucky ones. After his $2,800 deposit through the Yotta savings app was inaccessible for weeks, a check arrived in the mail.
“I’m really happy I got almost all my money. I’m definitely luckier than a lot of people,” Murphy told ABC7 Chicago.
But others, like Konstantin Tarnorutskiy of Vernon Hills, are still waiting. Tarnorutskiy attempted to withdraw over $7,400 as a precaution—but all his transactions were canceled. Weeks later, the balance disappeared from his account.
“The money doesn’t exist. It’s not held at Evolve. They’re saying the money doesn’t exist,” he said.
What Happened?
The situation began unraveling in May 2024, when over 85,000 users of the Yotta high-yield savings app were locked out of their accounts. The app relied on Evolve Bank & Trust, an FDIC-backed bank, and Synapse, a now-bankrupt brokerage firm, to handle back-end operations.
Evolve Bank has since claimed that Synapse sent mismatched account ledgers—one to them and a different one to the users—creating a massive reconciliation issue.
Affected Funds and Fallout
Former Illinois resident Zack Jacobs was among those hit hardest—he lost access to $100,000. He has since recovered 99% of his funds, but the emotional and financial toll remains.
“Yeah, I mean, it’s like losing a house,” Jacobs said.
Jacobs launched FightForOurFunds.org, a collective organizing platform that now represents thousands of impacted users demanding transparency and accountability.
Meanwhile, Yotta is blaming Evolve Bank in an ongoing lawsuit. Evolve has filed to dismiss the suit, arguing Synapse is solely responsible.
What Can Users Do Now?
Evolve says it’s continuing to work with regulators and partner institutions to track missing money using transaction data from the Federal Reserve.
For those still waiting, here are steps to take:
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File a complaint with the FDIC
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Report through the Federal Reserve Consumer Help portal
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Visit usa.gov/bank-credit-complaints for additional options
Were you or someone you know affected by frozen funds in the Yotta or Synapse meltdown? Have you received a refund or are you still waiting? Share your experience in the comments so others know they’re not alone—and what steps are still worth taking.
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