"Gotbit Founder Extradited: Crypto Fraud Unveiled"

Gotbit Founder Extradited to U.S. for Crypto Fraud

Aleksei Andriunin, the founder and CEO of cryptocurrency firm Gotbit, has been extradited to the United States on charges of market manipulation, wire fraud, and conspiracy. The 26-year-old Russian national was arrested in Portugal in October 2024 and subsequently indicted by a federal grand jury in Boston on October 31, 2024, along with Gotbit directors Fedor Kedrov and Qawi Jalili.

According to court records, Gotbit functioned as a "market maker" in the cryptocurrency market, providing trading volume manipulation services to various businesses in the United States and elsewhere between 2018 and 2024. Andriunin, as CEO, allegedly engineered a wash trading code to create artificial trading volume, enabling digital currencies to secure positions on major cryptocurrency trading platforms.

Prosecutors allege that Jalili, Kedrov, and other Gotbit personnel supplied fraudulent trading techniques to clients while maintaining multiple trading accounts to avoid detection. The firm is accused of executing fraudulent trades worth millions, yielding tens of millions in profits. Andriunin is also accused of transferring significant funds from his Binance account for personal use.

The defendant faces severe legal consequences if convicted. Wire fraud carries a maximum penalty of up to twenty years of imprisonment, along with monetary fines and asset forfeiture. The additional conspiracy charge could result in an additional five years of imprisonment. The court's deciding authority will determine the complete punishment according to U.S. sentencing regulations.

This case highlights the ongoing crackdown on market manipulation in the cryptocurrency industry, as authorities continue to investigate and prosecute those involved in fraudulent activities.