#HMSTR SCAM ALERT
‼️ HMSTR Token Market Maker Arrested in Portugal
Gotbit CEO, Alexey Andryunin, has been arrested in Portugal at the request of the FBI and is awaiting extradition to the U.S. Gotbit Hedge Fund, which partnered with Hamster Kombat to act as the market maker for the HMSTR token, is now under investigation. This news possibly caused the token to drop by 11% yesterday.
The U.S. has charged 15 individuals and three companies, including Gotbit, ZM Quant, and CLS Global, with cryptocurrency fraud. So far, there have been four arrests, five plea deals, and over $25 million in cryptocurrency has been seized.
Here’s a quick summary of the situation from a Reuters article:
🔴 The FBI created a token called NexFundAI on the Ethereum blockchain as part of their investigation and contacted market makers to test their services.
🔴 During calls and private messages with the undercover operation, market maker employees revealed how they used algorithms to inflate trading volumes, create multiple addresses to make token distributions look organic, and use other tactics.
🔴 The FBI considered these actions as "wash trading," "fake transactions," "market manipulation," and "artificially inflating trade volume." These charges could lead to up to 20 years in prison for those involved.#hamsterkombat24 #hamesterairdrop #HamsterKombat #hamsterkombat24 #HamsterTapTap
