Orhan 
The U.S. government has taken a significant step against the growing manipulation and fraud in the cryptocurrency sector, accusing 18 individuals and companies of illegally manipulating cryptocurrency markets and defrauding investors. Investigations initiated by the U.S. Department of Justice and the Securities and Exchange Commission (SEC) allege that the accused were involved in fraudulent activities worth millions of dollars.
Fraud and Manipulation Tactics Alleged by the U.S.
According to the investigation, the accused placed fake buy and sell orders to artificially inflate or deflate cryptocurrency prices, misleading investors to make illicit gains. This manipulation tactic, known as “Pump and Dump,” involved quickly driving up the prices of cryptocurrencies, after which the accused sold at high prices to make unjust profits.
According to Reuters, the companies involved are GotBit, Zm Quant, Cls Global, and Mytrade.
Additionally, the fraudsters are accused of targeting investors through fake cryptocurrency projects and platforms, defrauding them of significant sums of money. Both small retail investors and large institutional investors were victims of these schemes.
Increasing U.S. Pressure on the Cryptocurrency Sector
With the rising popularity of the cryptocurrency sector in recent years, the U.S. government has taken steps to tighten regulatory measures. The SEC and other federal agencies are working to make cryptocurrency markets more transparent and reliable, while emphasizing the need for harsher criminal penalties for illegal activities. This case is seen as one of the most comprehensive measures taken against illegal activities in the cryptocurrency sector.