Author: Kanishka Singh
WASHINGTON (Reuters) – The founder of cryptocurrency marketplace maker Gotbit has been indicted for his alleged role in a wide-ranging conspiracy to manipulate cryptocurrency markets on behalf of cryptocurrency companies, the U.S. Department of Justice said on Thursday.
The Department of Justice said in a statement that Alexei Andryunin, 26, was charged with wire fraud and conspiracy to commit market manipulation and wire fraud.
The U.S. Department of Justice alleges that between 2018 and 2024, while Andriunin was the company’s CEO, Gotbit provided market manipulation services to create artificial trading volume for multiple cryptocurrency companies, including companies located in the United States.
The superseding indictment also charged Gotbit and two of its executives, Fedor Kedrow and Qawi Jalila, who were previously charged in an indictment disclosed on October 9.
Gotbit, Andriunin, Kedrow and Jalili could not immediately be reached.
Andriunin faces up to 20 years in prison if convicted of wire fraud. If convicted of conspiracy to commit market manipulation and wire fraud, he faces a maximum penalty of five years in prison, the Justice Department said.
Federal prosecutors said they charged crypto companies Gotbit, ZM Quant, CLS Global and leaders and employees of these and other companies on October 9 in connection with an arrest that led to four arrests, five people’s guilty pleas and the seizure of over 25 million dollars.
