CLS Global Pleads Guilty to Wash Trading Charges and Market Manipulation
CLS Global, a Dubai-based crypto firm, has admitted to engaging in wash trading on the decentralized platform Uniswap. This revelation follows an investigation led by US prosecutors from the District of Massachusetts.
Key Facts
- CLS Global will plead guilty to charges related to fraudulent manipulation of cryptocurrency trading volume.
- The FBI uncovered evidence during its investigation involving an Ethereum-based token called NexFundAI.
- Meetings between CLS Global employees and undercover agents revealed admissions of assisting in volume generation for NexFundAI.
- CLS Global faces charges for conspiracy to commit market manipulation and wire fraud.
Penalties
- CLS Global will pay $428,059 to the government, including seized cryptocurrency and penalties.
- The firm is banned from participating in US crypto markets.
- The US SEC has initiated a civil case against CLS Global for securities law violations.
The plea deal is pending court approval. Authorities continue to strengthen measures against manipulative practices in the crypto space.