Former Coinbase Product Manager Gets Two Years For Insider Trading (decrypt.co) 16
Former Coinbase product manager Ishan Wahi was sentenced to two years in prison for insider trading. Decrypt reports: Ishan Wahi, 32, and his associates -- including his brother, Nikhil -- made over $1.5 million from investing in new digital assets just before they were listed by America's biggest crypto exchange. Wahi was able to use his knowledge of incoming assets to buy them and then quickly sell them, to make huge profits. When the San Francisco-based exchange lists new coins and tokens, they quickly shoot up in value, a phenomenon known as "the Coinbase effect."
The Indian national tried to flee the country after being quizzed by Coinbase, the Department of Justice said. But he was stopped from boarding a flight to India by American cops. Wahi pleaded guilty in February to two counts of conspiracy to commit wire fraud brought against him by prosecutors in the Southern District of New York. Wahi, his brother and his friend, Sameer Ramani, were also hit with civil charges by the U.S. Securities and Exchange Commission. "[Wahi] violated the trust placed in him by his employer" by sharing the secret listings," said U.S. Attorney Damian Williams. "Today's sentence should send a strong signal to all participants in the cryptocurrency markets that the laws decidedly do apply to them."
The Indian national tried to flee the country after being quizzed by Coinbase, the Department of Justice said. But he was stopped from boarding a flight to India by American cops. Wahi pleaded guilty in February to two counts of conspiracy to commit wire fraud brought against him by prosecutors in the Southern District of New York. Wahi, his brother and his friend, Sameer Ramani, were also hit with civil charges by the U.S. Securities and Exchange Commission. "[Wahi] violated the trust placed in him by his employer" by sharing the secret listings," said U.S. Attorney Damian Williams. "Today's sentence should send a strong signal to all participants in the cryptocurrency markets that the laws decidedly do apply to them."
Re:Selective persecution at its finest... (Score:5, Informative)
Re: (Score:2)
it is pretty much standard operating procedure for VPs to short their stock before announcing that a breach happened
Ive googled this and can only find the Equifax case, 2017. Links please
However, add BTC to the mix, and boom, jail.
And people regularly get put away for insider trading, it started long before bitcoin was around
White collar crime gets wrist slap. (Score:5, Insightful)
Two years is a bit of a joke.
Re:White collar crime gets wrist slap. (Score:4, Interesting)
Indeed. $1.5m is 21 years of income for the average US resident. Therefore, they should get (at minimum) 21 years for the crime, since they tried to illegally acquire 21 years worth of income.
Re: (Score:2)
Your signature is perfect for this response
Meanwhile... (Score:3)
Nelson Response.. (Score:1)
haha!
Every cryptoking has his Caroline (Score:2)
Wonder if he also had hot office orgies as part of the deal?