MyTrade Head First to Plead Guilty Among Group of Firms Accused of Gaming Markets
Summary
The U.S. Department of Justice secured a guilty plea from Liu Zhou, operator of MyTrade, for wash trading client cryptocurrencies across multiple exchanges. Wash trading involves artificially inflating asset prices by creating fake transaction interest. Zhou's operation, MyTrade MM, engaged in self-trades and "pump and dumps," aiming to profit by making buyers lose money. Other firms, including Gotbit, CLS Global, and ZM Quant, were also charged with similar manipulation tactics. CLS Global expressed willingness to cooperate with U.S. authorities and improve its processes, emphasizing efforts to block engagement with U.S. clients.
