Gotbit Founder Extradited to US on Market Manipulation and Fraud Charges! ⚖️💥
Gotbit founder Aleksei Andriunin, a 26-year-old Russian national, was extradited to the United States on Tuesday to face fraud charges. The U.S. Department of Justice (DOJ) alleges that his company participated in a “large-scale conspiracy” to manipulate token prices for the benefit of cryptocurrency clients. 🚨
Case Details:
Arrest and Extradition: Andriunin was arrested in Portugal in October 2023 and indicted by a grand jury in Boston. He faces charges of wire fraud and conspiracy to commit market manipulation, with a combined maximum sentence of 25 years in prison.
Other Defendants: Gotbit and two of its directors, Fedor Kedrov and Qawi Jalili, have also been indicted.
Gotbit’s Illicit Activities (2018-2024):
The company provided token price manipulation services to several cryptocurrency companies, including US-based companies. According to court documents, Gotbit made “tens of millions of dollars” in profits from these fraudulent activities. 💸
Andriunin’s Admission: In a 2019 interview with CoinDesk, he admitted that Gotbit’s services were “not entirely ethical.”
Misappropriation of Funds: Andriunin is accused of transferring millions of dollars of the company’s profits to his personal Binance account.
Next Steps:
Andriunin appeared before a judge in Boston on Tuesday. The next hearing date has not yet been set. ⏳
Impact on the Cryptocurrency Market:
This case highlights the risks of manipulation in the industry and reinforces the need for regulation and transparency. The DOJ’s action against Gotbit could serve as a warning to other companies that operate in similar ways. ⚠️
