SEC settles Coinbase insider trading case against Wahi brothers

Former Coinbase product manager Ishan Wahi and his brother Nikhil Wahi have agreed to settle insider trading charges brought against them by the United States Securities and Exchange Commission (SEC), the agency. announced On 30 May.

The brothers were accused of using knowledge of nine crypto assets that would be listed on Coinbase in the future to buy prior to their listing. The SEC filed suit against him on July 21, 2022. The agency is now seeking refund of the wrongfully earned profit along with interest.

SEC Director of Enforcement Gurbir S Grewal said in a statement:

“While the technologies at issue in this case may be new, the conduct is not. (…) Federal securities laws do not exempt crypto asset securities from the prohibition against insider trading, nor does the SEC.

The settlement is subject to court approval.

This is a developing story, and further information will be added as it becomes available.