Gotbit founder Aleksei Andriunin agreed to surrender $23 million in cryptocurrency as part of a plea deal with U.S. regulators related to market manipulation allegations.
Market Manipulation Allegations
Andriunin caused financial harm to Generator Network members who purchased cryptocurrency at prices allegedly inflated by his fraudulent activities. Gotbit was one of four cryptocurrency firms charged with market manipulation in October 2019.
Plea Agreement Details
As part of the plea deal, Andriunin may receive full immunity from imprisonment in exchange for asset forfeiture. However, the court retains the final discretion on sentencing.
Legal Consequences and Future
Through asset surrender, the total amount of forfeited funds will reach $23 million. The wallets containing stablecoins from Tether and Circle are subject to civil forfeiture. Federal prosecutors view Gotbit as a seasoned manipulation operation functioning from 2018 to 2024.
Andriunin's case highlights the seriousness of actions taken by legal authorities against market manipulation in the crypto sector.
