Popular Crypto Sleuth ZachXBT’s Predictions About GOTBIT Turn True
Popular Crypto sleuth ZachXBT’s one-year-old prophecies about GOTBIT turned true after the US government charged GOTBIT, ZMQUANT, CLS GLOBAL, MY TRADE for Market manipulation and sham trading. Gotbit has been particularly charged with accusations of indulging in wash trades and creating a spike in Robo Inu’s trading volume, according to the indictment.
A short story pic.twitter.com/bTPWqK8gec
— ZachXBT (@zachxbt) October 9, 2024
Crypto journalist db posted on X, “Four Cryptocurrency companies and 14 individuals have been charged in what U.S. prosecutors on Wednesday said was the first criminal prosecution of financial services firms for market manipulation and sham trading in the crypto sector. Federal prosecutors in Boston charged the firms Gotbit, ZM Quant, CLS Global, and MyTrade and their leaders and employees in a takedown that also involved arrests overseas. Five people have already agreed to plead guilty or have done so.”
ZachXBT's Early Warnings About GOTBIT's Questionable Services
ZachXBT picked up on one of his initial prophecies about GOTBIT’s questionable services last year when he warned, “I would be wary of any projects you see working with the market maker @gotbit_io as a leaked report shows highly questionable services offered.” He even shared a deck that pointed out Gotbit’s market manipulation maneuvers.
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According to ZachXBT, Gotbit claimed that during the first minutes in the Price discovery stage, the firm is going to ‘push the price up to 10x to create FOMO and accumulate as much buying power’ as they can to reach extreme Xs and sell maximum tokens on the subsequent spike. ZachXBT tweeted on March 18, 2024, “I just listed two in the past week and can name many more scams (ANALOS, SOMBRERO, MACHO, SIMBA, etc). I did not even bring up your insider Telegram groups where you provide info to influencers before dumping on everyone. You are proven bad actors to the space and provide absolutely zero value to the space.”
ZachXBT later criticized Gotbit on March 21, 2024, saying that their negligence caused followers to lose 365 SOL ($70.6K) in just a few minutes. The sleuth also went on to say that due to how fast your [Gotbit] account was recovered, I would say you [Gotbit] connected your X/Twitter account to a phishing site by mistake.
Conclusion
This recent Development, where the US government has charged several Cryptocurrency firms and individuals for market manipulation and sham trading, reaffirms the importance of due diligence and transparency in the crypto sector. It also highlights the role played by crypto sleuths like ZachXBT in uncovering and exposing potential scams and fraudulent activities within the industry.
Stay tuned for more updates and insights on the evolving landscape of cryptocurrencies and Blockchain Technology.
Also Read: ZachXBT Uncovers $24M Meme Coin Stash Linked to Murad
