Affirmative.
They have several bot accounts which have 0 fee, and they just trade directly between themselves.
This is done so fast that a regular person wouldn't really catch it, but it's visible in the history.
This is called wash trading, and it's frowned upon
Good catch and thanks for the information.
Shouldn't this be an illegal activity and be punished by law accordingly?
Dunno, maybe yes, maybe no.
Question is, are those exchanges under any such juridistiction? Does the law in those countries recognize it as illegal?
Most exchanges are regiateres in Malta, and Estonia, and i have a feeling there is a reason for that.
Besides, you'd have to prove it. At worst, i think its gray area because you as an observer dont see who made the trade, and to know that you'd need awarant from the authorities, due to GDPR and other privacy laws.
Would you be OK with, lets say Binance giving anyone your trade history? Especially since 75% of crypto is hidden from any tax?