Fun

SEC Slaps Former Coinbase Manager With Insider Trading Charges — Identifies 9 Crypto Tokens as Securities

News Feed - 2022-07-23 03:07:20

SEC Slaps Former Coinbase Manager With Insider Trading Charges — Identifies 9 Crypto Tokens as Securities


The U.S. Securities and Exchange Commission (SEC) has announced insider trading charges against a former Coinbase manager, who has been arrested and is also facing criminal charges. The regulator has identified nine crypto tokens as securities in the complaint. U.S. Attorney Damian Williams says it is “the first-ever insider trading case involving cryptocurrency markets.” SEC Charges Former Coinbase Manager, His Brother, and a Friend — 9 Crypto Tokens Identified as Securities


The U.S. Securities and Exchange Commission (SEC) announced Thursday “insider trading charges against a former Coinbase product manager, his brother, and his friend.”


The SEC detailed: “While employed at Coinbase, Ishan Wahi helped to coordinate the platform’s public listing announcements that included what crypto assets or tokens would be made available for trading.” The regulator added that from at least June 2021 to April 2022: In breach of his duties, Ishan repeatedly tipped the timing and content of upcoming listing announcements to his brother, Nikhil Wahi, and his friend, Sameer Ramani.


“Nikhil Wahi and Ramani allegedly purchased at least 25 crypto assets, at least nine of which were securities, and then typically sold them shortly after the announcements for a profit. The long-running insider trading scheme generated illicit profits totaling more than $1.1 million,” the SEC noted.


The nine crypto asset securities named in the SEC complaint are AMP, RLY, DDX, XYO, RGT, LCX, POWR, DFX, and KROM.


The securities watchdog charged Ishan Wahi, Nikhil Wahi, and Ramani with “violating the antifraud provisions of the securities laws.” The regulator is seeking “permanent injunctive relief, disgorgement with prejudgment interest, and civil penalties.” Criminal Charges


In a parallel action, the U.S. Attorney’s Office for the Southern District of New York also announced criminal charges against all three individuals Thursday.


According to an announcement posted by the Department of Justice (DOJ), the three are charged “in connection with a scheme to commit insider trading in cryptocurrency assets by using confidential Coinbase information about which crypto assets were scheduled to be listed on Coinbase’s exchanges.”


Ishan Wahi and Nikhil Wahi were arrested Thursday morning in Seattle, Washington. However, Sameer Ramani remains at large.


U.S. Attorney Damian Williams commented: Just last month, I announced the first-ever insider trading case involving NFTs, and today I announce the first-ever insider trading case involving cryptocurrency markets.


FBI Assistant Director Michael J. Driscoll said: “The defendants made illegal trades in at least 25 different crypto assets and realized ill-gotten gains totaling approximately $1.5 million.”


All three individuals are charged with “two counts of wire fraud conspiracy and two counts of wire fraud, each of which carries a maximum sentence of 20 years,” the DOJ noted.


The Justice Department announced the first-ever insider trading case involving non-fungible tokens (NFTs) in June. The defendant allegedly used NFT platform Opensea’s confidential information about what products were going to be featured on its homepage “to secretly purchase dozens of NFTs shortly before they were featured,” the DOJ detailed. Tags in this story Coinbase, Coinbase charged SEC, Coinbase criminal charges, Coinbase insider trading, Coinbase Manager, DOJ Coinbase, SEC, SEC Coinbase insider trading


What do you think about this crypto insider trading case involving a former Coinbase manager? Let us know in the comments section below. Kevin Helms


A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. US Lawmaker Slams SEC for Not Regulating in Good Faith — "Under Chair Gensler, SEC Has Become Power-Hungry" REGULATION | 1 day ago Reserve Bank of India Is Working on "Phased Implementation" of Central Bank Digital Currency REGULATION | 1 day ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleBitget Partners With MarketPeak to Offer Valuable Education of Crypto Trading Next articleChinese Tech Giant Tencent to Shut Down NFT Platform Amid Trading Restrictions Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItFollowing a Brief Fee Spike, Gas Prices to Move Ethereum Drop 76% in 12 Days


Transaction fees on the Ethereum network are dropping again after average fees saw a brief spike on April 5 jumping to $43 per transfer. 12 days later, average ether fees are close to dropping below $10 per transaction and median-sized ... read more.SEC Risks Violating Admin Procedure Act by Rejecting Spot Bitcoin ETFs, Says Grayscale Argentinian Securities Regulator Launches Innovation Hub to Discuss Regulated Crypto Investments FBI Issues Alert Concerning Malicious State-Sponsored North Korean Hackers Targeting Crypto Firms Microbt Reveals Latest Bitcoin Mining Rigs — Machines Produce up to 126 TH/s With Custom 5nm Chip Design

News Feed

Bankruptcy law firm S&C absolved from misconduct according to new FTX proposal
Zoltan Vardai4 minutes agoBankruptcy law firm S&C absolved from misconduct according to new FTX proposalFTX’s amended plan contains an exculpation clause that could absolve Sullivan & Cromwell, along with all d
Everything Wrong With the Call of Duty: Modern Warfare Beta
Call of Duty: Modern Warfare needs a polish before it"s release. | Source: ActivisionThe Call of Duty: Modern Warfare PlayStation 4 open beta landed earlier this week, and now that
Bitdeer clocks 50% gross profit jump amid Bitcoin mining ramp up
Alex O’Donnell3 hours agoBitdeer clocks 50% gross profit jump amid Bitcoin mining ramp upThe Bitcoin miner reported a net loss of $17.7 million in the second quarter of 2024 despite hashrate growth.1320 Total viewsList
XRP Battles Critical $2.20 Support Level — Will It Target $2.70 Or Slip To $1.96?
Este artículo también está disponible en español. XRP has been trading in a declineover the past few days alongside the broadercryptocurrency market. However, despite thi
Report: Binance Asked to Provide More Information as Dubai Tightens Screws Against Crypto Entities
Report: Binance Asked to Provide More Information as Dubai Tightens Screws Against Crypto Entities Dubai’s Virtual Assets Regulatory Authority (VARA) has reportedly asked Bin
Thailand to Develop ‘Cryptourism,’ Considers Issuing Utility Token
Thailand to Develop ‘Cryptourism,’ Considers Issuing Utility Token In search of ways to heal its travel industry, hurt by the pandemic, Thailand is now recognizing an opportuni
London’s ETC Group to List Centrally Cleared Bitcoin ETP on Deutsche Börse’s Xetra
London"s ETC Group to List Centrally Cleared Bitcoin ETP on Deutsche Börse’s XetraA UK-based financial services company will list a centrally cleared bitcoin exchange-traded prod
Ana Paula Pereira9 hours agoUS SEC deems spot Bitcoin ETFs filings as inadequate: ReportIn the eyes of the SEC, the recent filings from BlackRock, ARK Invest, Fidelity and other asset managers are not “sufficiently cle
Derek Andersen7 hours agoGaming gear maker Razer hacked, user data, encryption keys for sale online: ReportThe Singapore-U.S. gaming company has responded to reports of 404,000 emails, keys, logins and other info for sal
Bitcoin Investors Remain Calm Despite Israel-Iran Conflict Escalation
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
David Attlee1 hour agoIndonesia launches its crypto exchange and clearing houseThe platform, monitored by local regulators, will be the only space in the country where the legal exchange of digital assets is allowed.816
Coinbase Pushes for Single Crypto Regulator: CEO Says ‘We Have 53 Regulators in Just One Country, the US’
Coinbase Pushes for Single Crypto Regulator: CEO Says "We Have 53 Regulators in Just One Country, the US" Crypto exchange Coinbase has been meeting with a number of regulators to c