US government charges notable crypto companies, individuals for market manipulation and fraud

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The US government took legal action against three crypto firms and 15 individuals on Wednesday for market manipulation and fraud, including artificially inflating cryptocurrency prices to make profits.

The US government charged three crypto companies and 15 individuals for crimes of market manipulation of several cryptocurrencies. Defendants include crypto companies Gotbit, ZM QUANT, CLS Global, MyTrade, and their employees and accomplices. The FBI allegedly created their token named The NextFund AI token to get hold of the bad actors.

These firms also induced certain exchanges to lower trading fees while hiding their profits in multiple wallets. The investigation uncovered several online conversations between the workers and accomplices on platforms like Telegram and WhatsApp. Private calls between the defendants were also investigated to reveal offers to manipulate the crypto market. Prosecutors also revealed that Saitama, the largest company involved in various schemes, once had a market value of $7.

 

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