Bitget has launched legal proceedings following allegations of a $20 million market manipulation scheme targeting gaming tokens.
The exchange reported “abnormal trading activities” involving several gaming tokens. The exchange claims these activities resulted in approximately $20 million in losses. Bitget has not disclosed the identities of those involved but stated that it is working with law enforcement and blockchain analytics firms to identify the perpetrators. The suspicious trades reportedly centred around gaming-related tokens listed on Bitget.
According to the exchange, the manipulation involved coordinated trading patterns designed to artificially inflate token prices before rapidly selling off the assets, causing sharp price declines. Bitget responded by suspending trading for the affected tokens and freezing accounts suspected of involvement in the scheme.
The exchange has assured users that it protects customer assets and maintains market integrity. The exchange emphasized its commitment to transparency and stated that affected users would be updated as the investigation progresses. While Bitget has not released the names of the impacted tokens, the incident has raised concerns about the vulnerability of smaller-cap tokens to price manipulation on centralized exchanges.
“We are committed to upholding market fairness and will continue to cooperate with authorities to hold bad actors accountable,”
a Bitget spokesperson said.
Last week, the price of VOXEL, the native token of the Polygon-based game Voxie Tactics, experienced abnormal activity, including a significant surge in volume and price swings. Bitget flagged this unusual behaviour in VOXEL/USDT perpetual futures trading and temporarily suspended certain accounts from trading, depositing, and withdrawing. The price of VOXEL increased by over 560% in 48 hours, rising from $0.021 to $0.139 before dropping to its current price of $0.074.
Notably, Bitget has burned 130 million of its Bitget Tokens (BGB), equivalent to 2.5% of the total supply. This move is intended to increase the scarcity and long-term value of the BGB token for holders.
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