A New York federal court found former OpenSea NFT marketplace manager Nathaniel Chastain guilty of insider trading in tokens. The final verdict will be delivered at a meeting on August 22.
Nathaniel Chastain, a former product manager at OpenSea, is at the center of a money laundering and insider trading scandal. In early 2022, the resourceful NFT marketplace worker realized that by choosing which projects appear on the site’s homepage, he can control their price. The federal court in New York did not like it.
According to the prosecution, Chastain would regularly buy NFTs shortly before entering a special section of the site and then sell them at a higher price. The trial began on April 24 and has already become a milestone for the entire industry. Until now, NFTs have not been considered valuable boogies under US law and therefore insider trading charges have not applied to them.
Based on the results of the meeting on May 3, Nathaniel Chastain was found guilty, but will have to wait until August 22 for a final verdict. The penalty provided for in the article in which he is accused provides for up to 20 years in prison.
Author:
Grigory Shcheglov
Source: RB
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