What is insider trading?

Insider trading refers to the act of buying and selling of stocks of a public company, or its securities, primarily based on nonpublic facts related to the company in question. In numerous countries, a few forms of trading primarily based on insider facts is considered illegal.

Do insider trading rules apply to cryptocurrencies?

In the cryptocurrency world, there are fewer established systems and processes. Plus, most cryptocurrencies aren't classed as investments that need to follow SEC rules. But it seems that insider trading rules don't only apply to SEC-registered assets. And ignorance of the law is no defense.

Is the SEC investigating insider trading in cryptocurrency exchanges?

There are also reports that the SEC has also launched a probe into insider trading in cryptocurrency exchanges. Insider trading erodes investor confidence and creates an uneven playing field. The Ascent's best crypto apps for 2022 (Bonuses, $0 commissions, and more)

How does insider trading affect the Crypto and NFT market?

Fundamentally, insider trading erodes trust in the crypto and NFT market. It means that when you buy crypto or an NFT, you can't be sure that the price hasn't already been pushed up by someone who unfairly knows something you don't.