Liu Zhou avoided prison after admitting to manipulating markets via bots that executed fake trades across 60 cryptocurrencies.
A U.S. federal court fined MyTrade founder Liu Zhou $10,000 for operating a wash trading service that generated millions in fake daily volume. Zhou pleaded guilty to conspiracy charges in October 2024 alongside 17 co-conspirators.
The scheme allowed clients to specify fake trade volumes via a dashboard, executed by bots that repeatedly bought and sold the same assets. MyTrade openly marketed the service, which targeted roughly 60 cryptocurrencies and attracted dozens of clients.
Zhou avoided prison time but admitted the bots were used to inflate volume and attract unsuspecting buyers. The case highlights regulatory scrutiny of market manipulation in crypto trading.