Business Sandesh Indian Newspaper | Articles | Opinion Pieces | Research Studies | Findings & News | Sandesh News
Crypto exchange Bitget has filed legal action against eight trading accounts allegedly involved in manipulating the price of VOXEL tokens, resulting in over $20 million in damages.
In a statement released today, Bitget said it uncovered a coordinated effort by the accounts to artificially inflate the market for VOXEL, the native token of the gaming platform Voxies. The exchange alleges that these traders engaged in fraudulent practices, including wash trading and coordinated pump-and-dump schemes, designed to mislead other investors and destabilize the platform’s trading environment.
“Market integrity is critical to maintaining the trust of our users,” a Bitget spokesperson said. “We will take decisive action against any actors who attempt to manipulate token prices or otherwise undermine a fair trading environment.”
According to internal investigations, the suspicious activity spanned several weeks, during which the implicated accounts rapidly bought and sold large quantities of VOXEL to create false trading volumes and distort price signals. Bitget emphasized that its surveillance systems detected irregular trading patterns early, leading to a comprehensive review and the initiation of legal proceedings.
The exchange has not publicly disclosed the identities of the individuals or entities behind the accounts, citing ongoing investigations and legal sensitivities. However, Bitget confirmed that it has frozen the affected accounts to prevent further manipulation and is cooperating with law enforcement agencies to pursue further action.
VOXEL’s price volatility during the period in question attracted attention within the crypto community, with some traders and analysts raising concerns about unusual spikes in volume and price swings. Today’s announcement provides confirmation that at least some of that volatility may have been driven by illicit activity.
Bitget’s move highlights the growing efforts by centralized exchanges to police market behavior more aggressively as regulatory scrutiny of the cryptocurrency sector intensifies globally. Many exchanges are now investing heavily in compliance and monitoring tools to detect and deter market manipulation.
The lawsuit serves as a warning to traders that manipulative practices will not be tolerated and that exchanges are willing to use legal avenues to enforce accountability.
Bitget stated that it will continue to update the public as the case progresses, reaffirming its commitment to transparency and investor protection.
