The U.S. Securities and Exchange Commission (SEC) has filed lawsuits against three crypto market makers, ZM Quant, Gotbit, and CLS Global, accusing them of using algorithms to "wash" and create fake trading volume and liquidity, misleading retail investors. The SEC is seeking permanent injunctions, disgorgement of ill-gotten gains, and fines. SEC documents show that the FBI conducted a sting operation using a fictitious token, NexFundAI, and the related companies are accused of unknowingly participating in fake trading of the token. (Financefeeds)
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
The U.S. Securities and Exchange Commission (SEC) has filed lawsuits against three crypto market makers, ZM Quant, Gotbit, and CLS Global, accusing them of using algorithms to "wash" and create fake trading volume and liquidity, misleading retail investors. The SEC is seeking permanent injunctions, disgorgement of ill-gotten gains, and fines. SEC documents show that the FBI conducted a sting operation using a fictitious token, NexFundAI, and the related companies are accused of unknowingly participating in fake trading of the token. (Financefeeds)