Here, they are blatantly fraudulent. They trade between themselves, using fake generated wallets.
But what about Jump Capital? They have a crypto division that also does market making. The difference here is there are given a large chunk of tokens to market make with, as they please. Doing arbitrage through MEV (Which is just a collusion agreement between the mevbot and the miners), Buying at low points and dumping at high points.
At what point does convulusion and complexity create enough of a "Market Maker" vs. Trading with yourself.
trading off the same signals is collusion on "Signal sharing".
Creating MEV bots that take advantage of arb opportunities in the pool is insider trading.
Having significant equity in the company, but no financial interest or obligation to disclose dumps?