Gotbit founder reaches a plea deal with U.S. authorities to confiscate $23 million in crypto assets

PANews March 20th news, according to Decrypt, Gotbit founder Aleksei Andriunin has reached a plea agreement with U.S. authorities to confiscate $23 million in crypto assets related to market manipulation charges. Court documents cited by Law360 show Andriunin's participation in Gotbit has resulted in financial "damage" of "decentralized market participants" who purchased cryptocurrencies, who bought cryptocurrencies at "fraud-raising prices." The founder of Gotbit was extradited to the United States in late February after he was arrested in Portugal four months ago.

The plea agreement could result in Andriunin’s need to be imprisoned and no additional fines were required to be paid in addition to forfeiture of assets. However, the court reserves final discretion over the terms of the judgment. The assets that were civilly seized totaled $23 million, including stablecoins issued by Tether and Circle, were stored in four wallets under "full control" by Andriunin. Court documents show Andriunin will be released for three years, during which he is strictly prohibited from participating in any crypto activities.

Earlier in November last year, the U.S. Department of Justice sued the CEO of Gotbit for allegedly planning a large-scale false transaction .