Nikhil Wahi admitted that he received tips from his brother, who was a former product manager at Coinbase, about upcoming listings and made $1.4 million from them.
A trio of Australian researchers released a new study that sought evidence of “individuals using private information to buy coins prior to their listing announcement and profiting from the typical price surge that follows the announcement.”
Ishan Wahi is alleged to have shared with his brother and a friend tokens that were to be listed on Coinbase, with the three earning $1.5 million from this.
Founder Trung Nguyen moved 48,000 AXS tokens after the $600 million hack was discovered but before the company came clean, which Axie says was for the benefit of users, according to reports.
The news comes days after U.S. Attorneys in the Southern District of New York announced charges on former Coinbase product manager Ishan Wahi and two other men over an alleged insider trading scheme.
Ishan Wahi, his brother Nikhil and friend Sameer Ramani are accused of violating securities laws’ antifraud provisions to earn over $1.1 million in illegal profits between June 2021 and April 2022.
The former Huobi manager is accused of setting up an account, approved a $20 million credit line to himself, and then started trading against Huobi, netting $5 million in profits.
The U.S. Department of Justice announced that it is prosecuting a former employee of Ozone Networks, Inc (OpenSea) with wire fraud and money laundering in connection with a scheme to commit insider trading in NFTs.
Three individuals connected to Long Blockchain Corp—formerly known as Long Island Iced Tea—have been charged by the SEC for insider trading.