• The US government charged three crypto companies and 15 individuals for crimes of market manipulation of several cryptocurrencies.
• Defendants include crypto companies Gotbit, ZM QUANT, CLS Global, MyTrade, and their employees and accomplices.
• The FBI allegedly created their token named The NextFund AI token to get hold of the bad actors.

The US government took legal action against three crypto firms and 15 individuals on Wednesday for market manipulation and fraud, including artificially inflating cryptocurrency prices to make profits.

US government charges Gotbit, ZM Quant and CLS Global and founders for market manipulation

US prosecutors charged three cryptocurrency firms, including Gotbit, ZM QUANT, and CLS Global, along with 15 individuals in a landmark case for market manipulation and fraudulent trading in the crypto industry. The case, filed in a District Court in Boston, Massachusetts, has already gained widespread attention.

A few of the manipulated tokens involved include VZZN, The NextFund AI token, and the Saitama token. The filing indicates that the defendants advertised seemingly legitimate services on ZM QUANT while secretly offering illegal services to clients.

They also performed manipulative trades, increasing the trading price and volumes of these cryptocurrencies to attract investors' attention.

These firms also induced certain exchanges to lower trading fees while hiding their profits in multiple wallets.