What Is Crypto Wash Trading?

Wash trading is a form of market manipulation in which a trader simultaneously buys and sells the same financial instrument, typically to artificially inflate the trading volume and mislead others about the true level of market interest. In the case of crypto, wash trading can occur on cryptocurrency exchanges, where traders can place buy and sell orders for a particular digital asset using multiple accounts. For example, a trader could create multiple fake accounts and use them to place buy…