Published on oktober 10, 2024, 12:23 am
Image source: Fox News
```json [ "TLDR: US authorities, including SEC, DOJ, and FBI, filed civil suits against companies like Gotbit Consulting, ZM Quant Investment, and CLS Global, along with individuals for fraud and market manipulation in the cryptocurrency world. Various cryptocurrencies like Saitama and Robo Inu were involved. The investigation is ongoing involving more projects like NexFundAI, SaitaChain, VZZN, Lillian Finance. The case highlights regulatory efforts to combat illicit activities and protect investors in the crypto space." ] ```
A complex web of companies, individuals, and alleged crimes has come under scrutiny by US federal authorities in the world of cryptocurrencies. The United States Securities and Exchange Commission (SEC), alongside the Justice Department and Federal Bureau of Investigation (FBI), filed civil suits in the District Court of Massachusetts against three market makers and associated individuals for fraud and market manipulation.
Gotbit Consulting, ZM Quant Investment, and CLS Global, along with nine individuals, were charged with fraudulent activities related to cryptocurrencies. Gotbit Consulting and its marketing director Fedor Kedrov are accused of market manipulation through wash trading for cryptocurrencies like Saitama and Robo Inu. Vy Pham, behind these projects, faces charges of unregistered securities offerings, fraud, and market manipulation as well.
ZM Quant Investment and CLS Global face similar charges in relation to NexFundAI cryptocurrency. Additionally, more cryptocurrencies are under investigation by the FBI, including those like SaitaChain, VZZN, Lillian Finance. The Justice Department revealed a total of 18 people facing charges across different cases involving companies like MyTrade MM.
The crypto community is looking closely at the role played by market makers in ensuring liquidity versus potentially engaging in manipulative practices. This case sheds light on how regulatory bodies are cracking down on illicit activities within the cryptocurrency space to protect investors’ interests and maintain integrity within the markets.
Original article posted by Fox News
