The most discussed coin on Crypto Twitter over the past day arguably isn’t Bitcoin or some novel asset rocketing to new heights—it’s an Ethereum token created by the FBI to catch scammers, and one that made the agency a profit before trading was disabled.
The Department of Justice (DOJ) unveiled a sweeping criminal case against 14 individuals and four crypto firms Wednesday. Gotbit, ZM Quant, CLS Global, and MyTrade were all accused of misconduct related to market manipulation—inflating tokens’ prices and volumes on demand.
Over the course of its investigation, the DOJ identified around 60 cryptocurrencies allegedly manipulated by defendants’ wash-trading bots. That included a “token created at the direction of law enforcement” for a fake crypto company dubbed NexFundAI, the DOJ said Wednesday.
The token was used to identify, disrupt, and bring alleged fraudsters to justice, according to the special agent in charge of the FBI’s Boston division, Jodi Cohen, who called the FBI’s deception “unprecedented” in a press release.
Go to Source to See Full Article
Author: André Beganski
