NovaTech's traders lost approximately $18.2 million of the $26 million sent for trading, using incoming deposits from new investors to pay out weekly returns and recruitment bonuses

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Investors deposited $1.16 billion in digital assets into NovaTech's wallet between August 2019 and May 2023, but NovaTech sent only $26 million to its trading provider B2Broker

Before launching NovaTech in 2019, the Petions promoted AWS Mining, a crypto mining scheme promising 15% to 20% monthly returns that collapsed in 2019

Argentina's fintech chamber raised concerns that the sudden February 2025 LIBRA cryptocurrency collapse could constitute a rug pull scam targeting crypto investors

NovaTech falsely advertised itself as a registered hedge fund broker licensed to trade crypto in the United States, promising returns of 2% to 4% weekly

NovaTech targeted Haitian and immigrant communities worldwide using ads in Haitian Creole, social media, and WhatsApp prayer groups

Cynthia Petion, the sole authorized user on NovaTech's investor account, authorized withdrawals of at least $134.5 million to wallets belonging to herself and Eddy Petion

More than 11,000 New Yorkers put money into NovaTech and AWS Mining before NovaTech collapsed in May 2023 and locked investors out of withdrawals

On the launch day of PaperTrade, a trader executed $10 million to $20 million market orders on Hyperliquid to move Ethereum perpetual prices

The PaperTrade team stated that transferable PAPER tokens would enable attackers to profit by combining price manipulation with PAPER short positions

A trader exploited the correlation between Hyperliquid's order book and PaperTrade's price feed to profit from Ethereum short positions

Papertrade restricted PAPER token transfers to prevent potential perpetual attack risks and trading manipulation that could threaten protocol solvency

The Commodity Futures Trading Commission's proposed framework for retail crypto transactions mandates market surveillance, anti-manipulation rules, customer protection, and proof-of-reserves controls

ASIC's trading rules proposed in Consultation Paper 392 require digital asset platforms to maintain controls to detect and prevent market manipulation and take reasonable steps to ensure best execution for customer orders

Under ASIC's proposed standards, platforms face restrictions on trading for their own accounts as principal and are prohibited from taking benefits to give preferential treatment to specific tokens.

Sandwich attacks on Ethereum cost traders approximately $60 million over the 12 months leading up to October 2025, according to Cointelegraph's analysis of EigenPhi data.

Trading bots monitor pending public blockchain transactions to execute frontrunning and sandwich attacks ahead of user trades.

Bitquery identified 6.9 million Solana sandwich attacks that extracted $29.7 million from 2.2 million wallets between October 30, 2025, and October 7, 2026.

Crypto exchanges must guarantee that confirmed order cancellations prevent subsequent fills

Wallet 0x2025...840e netted approximately $1.28 million in profit on $3.18 billion in trading volume within hours of Papertrade's launch on HyperEVM on October 10, 2026

Papertrade stated on October 11, 2026, that it began tightening open interest caps onchain and at the relayer level following launch-day manipulation attempts on BTC and ETH