11:32 - 11.10.2024

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October 11, Fineko/abc.az. The Federal Bureau of Investigation (FBI) has developed its own cryptocurrency token NEXF to identify companies suspected of manipulating the cryptocurrency market.

ABC.AZ reports that the operation was carried out to "catch" the so-called wash trading (money laundering) - illegal transactions conducted in order to create the appearance of high market activity. Such actions artificially raise the price of an asset, creating the appearance of its attractiveness in the eyes of investors. In reality, this is often part of a "pump and dump" scheme, in which manipulators first inflate the value of an asset and then sell it at an inflated price, leaving uninformed investors with losses.

As a result of well-coordinated actions, the companies Gotbit, ZM Quant, CLS Global FZC and MyTrade MM, as well as some of their employees, were charged.

As a result, the FBI seized more than $25 million in cryptocurrency and stopped the work of several trading bots responsible for manipulating about 60 different types of coins.