Gotbit CEO Sentenced to 8 Months for Crypto Market Fraud

- Aleksei Andriunin receives eight-month sentence for market fraud. - Gotbit Consulting to halt operations during five-year probation. On June 13, 2025, CoinDesk reported that Aleksei Andriunin, the founder of Gotbit Consulting LLC, received an eight-month prison sentence for orchestrating a multi-million dollar wash trading scheme. The United States Department of Justice (DOJ) stated on June 13 that Andriunin pleaded guilty in March 2025. His plea covered charges of wire fraud and conspiracy to commit market manipulation and wire fraud. The DOJ further outlined on June 13 that Andriunin orchestrated a scheme to manipulate cryptocurrency trading volume from 2018 to 2024. The fraudulent activities also implicated Gotbit Consulting LLC, the firm he founded. Consequently, as part of the sentencing, a court placed Gotbit on five years of probation. During this period, the company must cease operations and forfeit approximately $23 million in seized cryptocurrency. According to the DOJ on June 13, prosecutors indicated that Gotbit provided market manipulation services. These services, including "wash trading," aimed to artificially inflate trading volume for multiple cryptocurrency companies. Wash trading involves repeatedly buying and selling assets, a practice that creates the illusion of higher trading activity. In a 2019 interview, Andriunin revealed that he developed code specifically for such practices, designed to help cryptocurrencies get listed on platforms like CoinMarketCap and larger exchanges. On June 13, CoinMarketCap data showed Bitcoin (BTC) trading at $27,846 as of 12:00 UTC, with its 24-hour trading volume decreasing by 1.7%.