The SEC – according to Fox Business reports – has launched an investigation into insider trading on exchanges and is carrying out checks to look for specific compliance violations. the Commission would have sent a communication to one of the main cryptocurrency exchanges, requesting information on how the platform protects users from insider trading. And one might think that the same letter was sent to multiple platforms, even if there is currently no definite information on which exchange received the request.
Allegations of insider trading on OpenSea, one of NFT’s largest markets, have caught the SEC’s attention in recent weeks. Former U.S. Securities and Exchange Commission attorney Alma Angotti says news this week about an OpenSea employee accused of insider trading could open the door to non-fungible tokens labeled as stocks. The Commission could then also label NFTs as securities, after these allegations surfaced, directed at the former market product manager. The exact allegations were “computer fraud and money laundering in connection with a scheme for committing insider trading”. Until now, the term “insider trading” had not been used when it came to cryptocurrencies and generally refers to stock insider trading.
