The indictment includes charges against Gotbit and its directors, Fedor Kedrov and Qawi Jalili, indicating a broader network of alleged fraud.

The charges carry a potential sentence of up to five years in prison, and the U.S. SEC has also filed a fraud suit against Gotbit and Andriunin.

If convicted, Andriunin faces serious penalties, including up to 20 years for wire fraud and an additional five years for conspiracy, alongside substantial fines and restitution.

Charges are also pending against Gotbit and two of its employees based in Russia, who have not yet appeared in court.

Andriunin was arrested in October 2024 and subsequently indicted by a federal grand jury on charges of wire fraud and conspiracy to commit market manipulation.

Prosecutors allege that from 2018 to 2024, Gotbit engaged in 'wash trading' to artificially inflate trading volumes for client cryptocurrencies, generating tens of millions in proceeds.

The operation led to the seizure of over $25 million in cryptocurrency and the shutdown of trading bots linked to around 60 tokens involved in volume manipulation.

This manipulation was reportedly a key tactic to attract clients, who paid high fees for what they believed was legitimate market support.

Andriunin's case is part of a broader investigation known as 'Operation Token Mirrors,' led by the FBI to combat cryptocurrency fraud.

Court documents indicate that Andriunin maintained records of Gotbit’s market manipulation, comparing 'Created Volume' from wash trades to genuine market activity.

Notable cryptocurrencies involved in the scheme include Saitama and Robo Inu, with individuals associated with them also facing charges.

Aleksei Andriunin, the 26-year-old founder and CEO of cryptocurrency firm Gotbit, was extradited from Portugal to the United States on February 26, 2025, amid serious allegations of fraud and market manipulation.