Gotbit Consulting LLC, a cryptocurrency financial services firm known as a "market maker," and its founder have pleaded guilty to charges of market manipulation and fraud conspiracy. The pleas were entered in federal court in Boston, marking a significant development in the legal proceedings against the firm.
Aleksei Andriunin, 26, who holds citizenship in Russia and Portugal, along with Gotbit, admitted guilt to wire fraud and conspiracy charges. Andriunin was apprehended in Portugal on October 8, 2024, and subsequently extradited to the United States on February 25, 2025.
The case involves allegations that Gotbit engaged in fraudulent activities between 2018 and 2024 by manipulating cryptocurrency trading volumes for various client companies. These manipulations were reportedly intended to create artificial trading volume, aiding clients' cryptocurrencies in gaining listings on platforms such as CoinMarketCap and larger exchanges. In a previous interview from 2019, Andriunin detailed his use of code for "wash trading"—a practice designed to inflate trading volumes artificially.
The indictment also includes charges against two Gotbit directors: Fedor Kedrov and Qawi Jalili. Additionally, leaders from associated cryptocurrency companies Robo Inu and Saitama face separate charges unsealed last October.
As part of the plea agreement with authorities, Gotbit has consented to cease operations and forfeit approximately $23 million worth of seized cryptocurrency. The U.S. government is expected to recommend up to two years of imprisonment for Andriunin under this agreement.
This case is one among others involving market makers implicated in illegal wash trading within the cryptocurrency sector. Similar cases include those against MyTrade's founder and CLS Global FZC LLC.
The Securities & Exchange Commission has initiated related civil actions against Gotbit for securities law violations. Legal consequences for wire fraud may include up to 20 years in prison along with fines, restitution, or forfeiture based on the offense's financial impact.
U.S. Attorney Leah B. Foley announced these developments alongside Jodi Cohen from the FBI's Boston Division. The investigation received support from international entities including Portugal’s Policia Judiciaria. Assistant U.S. Attorneys Christopher J. Markham and David M. Holcomb are leading the prosecution efforts while Carol Head oversees asset recovery aspects.
All defendants remain presumed innocent unless proven guilty beyond reasonable doubt as per judicial procedures.
