Menu

Categories:

Hot right now:

Follow on:

Coinsurges provides coverage of fintech, blockchain, and Bitcoin, delivering the most recent news and analyses on the future of money. Stay up-to-date with live prices, charts, and trading options for the top exchanges. Keep track of the day's top cryptocurrency gainers and losers, as well as which coins have experienced gains and losses in the past 24 hours.
Trust Coinsurges as your go-to source for all news and updates in the industry.

Menu

Categories:

Hot right now:

Follow on:

Coinsurges provides coverage of fintech, blockchain, and Bitcoin, delivering the most recent news and analyses on the future of money. Stay up-to-date with live prices, charts, and trading options for the top exchanges. Keep track of the day's top cryptocurrency gainers and losers, as well as which coins have experienced gains and losses in the past 24 hours.
Trust Coinsurges as your go-to source for all news and updates in the industry.

US Charges 14 Individuals And Four Crypto Companies In Major ‘Sham Trading’ Scandal

Share This Post

On Wednesday, US prosecutors charged four crypto companies and 14 individuals in what is hailed as the first criminal prosecution targeting financial services firms for market manipulation and sham trading activities within the crypto sector. 

Allegations Of Price And Trading Volume Manipulations

According to a court filing by the US District Court of the District of Boston Massachusetts, one of the companies charged is crypto trading firm ZM Quant, which is registered in the British Virgin Islands.

Prosecutors allege that from approximately 2022 to 2024, ZM Quant conspired to manipulate the trading volume and prices of various undisclosed cryptocurrencies. 

The scheme allegedly allowed the company to profit by receiving payments from crypto companies and selling the manipulated cryptocurrencies at what prosecutors said were “inflated prices”.

The court filings detail the objectives of the conspiracy, suggesting that the primary intent was to engage in market manipulation and wire fraud. Prosecutors allege that the conspirators aimed to enrich themselves at the expense of market integrity and investor trust.

Crypto Fraud Charges

In addition to ZM Quant, the indictment includes other firms—Gotbit, CLS Global, and MyTrade—along with their executives and employees. 

This coordinated enforcement action also involved international arrests. Notably, five individuals connected to the case have already entered guilty pleas or agreed to plead guilty, indicating a potential willingness to cooperate with authorities.

The charges of these companies also revolve around serious allegations of deceptive trading practices, often referred to as “sham trading,” which is designed to create a false impression of market activity, misleading investors and artificially manipulating prices.

Crypto

Featured image from DALL-E, chart from TradingView.com

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

XRP: Key To The 1% Club? 99% Will Be ‘Locked Out’, Analyst Says

A familiar personality in the XRP online forum has generated buzz with a fresh and sensational prediction regarding the direction of the global financial system The commentator, known by the handle

EVM on TON: TAC Founder Marco Monaco and the Future of Interoperability

TAC is a purpose-built blockchain for EVM dApps to access TON and Telegram Ecosystem’s 1B+ user base TAC makes it seamless for Ethereum dApps to be deployed on TON EVM functionality and liquidity

StakeStone and WLFI Join Forces to Boost USD1 Stablecoin Liquidity

The post StakeStone and WLFI Join Forces to Boost USD1 Stablecoin Liquidity appeared first on Coinpedia Fintech News StakeStone has teamed up with the Trump family’s crypto project, WLFI, to

“It Was a Vote Against Trump”: Tim Scott Blames Democrats for Stablecoin GENIUS Act Failure

The post “It Was a Vote Against Trump”: Tim Scott Blames Democrats for Stablecoin GENIUS Act Failure appeared first on Coinpedia Fintech News The US just stumbled on what could have been

Brazil’s B3 Exchange to Launch ETH and SOL Futures, Reduces Bitcoin Contract Size

The post Brazil’s B3 Exchange to Launch ETH and SOL Futures, Reduces Bitcoin Contract Size appeared first on Coinpedia Fintech News Brazil’s B3 stock exchange will roll out Ethereum (ETH) and

This New Cryptocurrency Could Outperform XRP and MATIC — Best Crypto to Buy Before June?

The post This New Cryptocurrency Could Outperform XRP and MATIC — Best Crypto to Buy Before June appeared first on Coinpedia Fintech News The crypto market in 2025 is no longer just about riding