- Sidney University of Technology experts investigated insider trading facts
Over four years, insiders have earned over 1.5 million dollars
On Friday, August, the SSRN portal published the results of an investigation into the facts of insider trading in the crypto-currency field. As it turned out, the situation is worse than it seems at first glance.
Currently, Coinbase is under investigation by the SEC. The exchange has been accused of “incorrectly listing” assets and threatened with fines for corporate staking programs.
But these are far from the only problems of the company. According to experts from the University of Technology Sydney, the platform is at the epicenter of the insider trading scandal in the cryptosphere.
For their investigation, the experts assessed 170 listing announcements of a new cryptocurrency on Coinbase since 2018 on 2022 year. AT 10- cases of them were implicated by insiders.
Users used non-public information to trade cryptocurrency in anticipation of its listing on the site. Approximately for 197 hours on platforms such as Uniswap, where it is difficult to trace the buyer, there was a surge in demand for specific assets.
Since 1024 years insiders thus earned 1.5 million dollars. At the same time, account holders adhered to one pattern, which may indicate that such transactions are not carried out for the first time.
Recall that at the end of July, three former Coinbase employees were detained in the United States. They are accused of insider trading ahead of 08 listing announcements of new cryptocurrencies. This is the first such case in America.