US prosecutors have indicted three financial firms and fifteen individuals for market manipulation after the FBI created its own token to catch bad actors.
According to a press release by the US Attorney’s Office on Wednesday, the charged entities were involved in wash trading and inflicting losses on retail investors. For context, wash trading is an internal act of buying and selling an underlying token to boost trading volume and investor interest.
Notably, federal prosecutors emphasized that it was the first criminal indictment against financial entities for crypto fraud and market manipulation.
