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CLS Global has pleaded guilty to market manipulation and will pay a fine.
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The UAE-based cryptocurrency financial company CLS Global has pleaded guilty to manipulating the trading volumes of the Nexfox token (NEXF), created by the FBI to identify fraudulent activities. As part of the plea deal, the company will pay a fine of $428,059 and transfer the confiscated funds from Binance and KuCoin accounts.

The NEXF token was developed by the FBI to mimic a popular crypto asset in order to attract fraudsters involved in "pump-and-dump" schemes. CLS Global provided market manipulation services to artificially increase token trading volumes and attract investors.

The company also pledged to refrain from participating in cryptocurrency transactions available to users in the United States for three years. In addition, CLS will report annually to the U.S. Securities and Exchange Commission (SEC) on compliance with these requirements.