DOJ Unseals Indictment on FBI's $feds Crypto Sting on Ethereum

Oct 9, 2024, 09:16 PM

The Department of Justice (DOJ) has unsealed an indictment revealing a significant operation by the FBI targeting crypto market manipulation and sham trading. As part of the sting, the FBI created a fake token, referred to as $feds, which was launched on the Ethereum blockchain. This token, promising 80% ROI, was used to identify and apprehend individuals involved in fraudulent activities. The operation, which began over two years ago following a referral from the SEC, involved the FBI deploying capital to multiple wallets and conducting numerous trades. The FBI's AI token, which resulted in doxxed wallets, culminated in the rug pull of the token on September 18th, exposing the fraudulent activities and leading to several arrests.