Alexey Andryunin Receives Eight-Month Sentence for Artificial Trading Volume Inflation Scheme at Gotbit

LeverageAddict · 2026-03-16T11:01:02+00:00

Alexey Andryunin, a 26-year-old Russian-Portuguese citizen and founder of Gotbit, was sentenced to eight months in prison for orchestrating a cryptocurrency market manipulation scheme that caused victims to lose millions. The scheme involved fake trading activities to enhance the platform's visibility. After his arrest in Portugal and extradition to the U.S., he pleaded guilty to fraud and market manipulation, resulting in strict penalties against him and his platform, which will be barred from operating for five years.

LeverageAddict

2026-03-16 11:01:02

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26-year-old Russian-Portuguese citizen Aleksey Andryunin, founder of the Gotbit platform, was sentenced by an American court to eight months in prison. The sentence followed his guilty plea to organizing a large-scale scheme to manipulate the cryptocurrency market, resulting in victims losing tens of millions of dollars.

How the Fake Trading System Worked on Gotbit

Court documents reveal details of how Aleksey Andryunin developed technology to artificially inflate trading volumes. According to U.S. prosecutors, in a 2019 interview, the founder described the software code he created, which allowed him to mask the movement of digital assets and create the illusion of activity on the platform. The goal was clear: attract the attention of major market aggregators and increase the platform’s visibility on CoinMarketCap and other reputable cryptocurrency exchanges.

Scale of the Fraudulent Operation

The Gotbit team actively promoted this wash trading method to potential clients, explaining how using multiple hidden accounts could conceal illegal transactions on the open blockchain. The calculation was cynical: the platform conducted fake trades worth several million dollars supposedly on behalf of its clients, while charging tens of millions of dollars in commissions and service fees.

Arrest, Extradition, and Guilty Plea

Aleksey Andryunin was arrested by Portuguese authorities in October 2024 following an international warrant. In February of this year, he was extradited to the United States, where he signed a plea agreement with the federal prosecutor for the District of Massachusetts in March. The document listed two serious charges: wire fraud and market manipulation of cryptocurrencies.

Strict Sanctions Against the Platform and Its Founder

In addition to his personal imprisonment, Aleksey Andryunin faced long-term consequences for his company. The court ruled that the Gotbit platform itself would be prohibited from operating for the next five years. This decision signals the U.S. judicial system’s zero tolerance for financial fraud in the crypto industry. The sentencing of Aleksey Andryunin highlights increasing regulatory attention in the U.S. to volume manipulation and artificial price inflation of digital assets.

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