The U.S. justice Department beginning a criminal investigation into the activities of cryptocurrency traders who allegedly manipulated the market, using traditional illegal tactics.
According to the report
Bloomberg, in which the publication cites anonymous sources familiar with the matter, the investigation is conducted in conjunction with the Commission on commodity futures trading (CFTC). As part of the investigation studied the use of technology «spoofing» — placing false bids to manipulate the value of the asset in the market which may affect trade in bitcoin and ether.
In addition, the Department of justice is investigating the activities of capturadora who allegedly cheated the system by sending yourself a large amount of orders to create an imaginary view of the growing demand and to persuade other investors to trade.
The news marks the latest efforts of the US authorities to ensure fair operation of the cryptocurrency market after the CFTC allowed the local exchanges to list futures and derivatives bitcoin late last year.
As previously reported, the CFTC Commissioner Brian Quintenz (Brian Quintenz) said that the Agency pays particular attention to observation of «fraud, market manipulation and disruptive trading virtual currency.»
The CFTC and the truth is increasingly interested in the work of the cryptocurrency industry. Recently, the Commission released
guidelines for cryptocurrency derivatives trades to clearing-houses and exchanges if you expect to withdraw on trading derivative financial products related to cryptocurrency. And in February, the regulator has promised to reward
whistleblower for the disclosure of schemes «pump and dump» cryptocurrency.
In General, the Commission seeks to adopt a balanced approach to the regulation of cryptocurrencies. The Chairman of the CFTC recently stated that regulators should respect the interest of the generation to bitcoin. Christopher Giancarlo has repeatedly made similar statements about bitcoin and other cryptocurrencies investors, starting with his remarks at the hearing in the Senate Committee, which was held this year – then his fiery speech
earned him the title of «CryptoAPI».