$23 Million Seized as Crypto Market Maker Collapses With Guilty Plea

A crypto market maker admitted to years of fake trading, using custom software to inflate token prices and volumes in a massive scheme to mislead investors.

Wash Trading Empire Crushed: DOJ Exposes Years-Long Crypto Volume Scam

The U.S. Department of Justice (DOJ) announced on March 21 that Gotbit Consulting LLC and its founder Aleksei Andriunin pleaded guilty in federal court in Boston to wire fraud and conspiracy charges tied to a years-long cryptocurrency market manipulation scheme.

Andriunin, a 26-year-old dual national of Russia and Portugal, was arrested overseas in October 2024 and extradited to the United States the following February. The firm, which operated as a market maker in the crypto sector, admitted to engaging in fraudulent trading activity for multiple digital tokens.

The DOJ stated:

As part of today’s criminal resolution, Gotbit agreed to cease all operations and forfeit approximately $23 million in seized cryptocurrency. Pursuant to the plea agreement with Andriunin, the government will recommend a sentence of up to two years in prison.

Federal prosecutors disclosed that between 2018 and 2024, Gotbit used wash trading strategies to simulate trading activity, inflating volume and price to deceive investors and platforms. The company used multiple accounts to avoid detection and promote client tokens such as Robo Inu and Saitama, both of which are now under separate investigation. Andriunin previously acknowledged developing custom software for this purpose in a 2019 interview.

According to the DOJ: “Gotbit is the third market maker to resolve criminal charges relating to wash trading in the cryptocurrency industry.” The department further stated: “In October 2024, the founder of Mytrade pleaded guilty in connection with providing an unlawful wash trading service identified through an undercover law enforcement operation. In January 2025, CLS Global FZC LLC pleaded guilty in connection with offering illegal ‘volume support’ services uncovered by the same operation.”

The charges carry potentially severe penalties. The DOJ explained:

The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release, a fine of up to $250,000 or twice the gross gain or loss from the offense, restitution and forfeiture.

In addition, the Justice Department said: “The charge of conspiracy to commit market manipulation and wire fraud provides for a sentence of up to five years in prison, up to three years of supervised release, a fine of up to $250,000 to twice the gross gain or loss from the offense, restitution and forfeiture.”