NTF Insider Trading on OpenSea Crypto Platform

The case of insider trading has now become known on the popular and largest cryptocurrency exchange OpenSea. An employee of this marketplace bought NFTs before they became available to the masses. NFTs are non-fungible tokens that can be used to purchase digital artworks. There is a huge buzz in the segment of these tokens, some NFTs are now worth millions.
OpenSea CEO Devin Finzer told the BBC of the incident that it was “extremely disappointing” and did not reflect the corporate spirit of OpenSea. According to a blog post, the incident is now being thoroughly investigated. According to OpenSea, a person bought NFTs before they were visible to everyone on the start page.
By the way, “insider trading” is not illegal with NFT because there are currently no restrictions as with other marketplaces. OpenSea still responds to this case and in its new rules prohibits employees from using confidential information about NFTs when purchasing the corresponding tokens.
“This example shows that you also need to regulate the cryptocurrency world, including the NFT market,” says writer and financial markets analyst David Gerard. In addition, it is not recommended to do anything questionable if it is documented on a public blockchain that accurately maps all transactions.

Leave a Comment