Justice Department, SEC File Charges Against Alleged Coinbase Insider Traders

Key Takeaways

• Today the Department of Justice charged a former Coinbase employee and two co-conspirators in the “first ever” crypto insider trading scheme.
• The three men’s alleged scheme was brought to light in April by a tweet from crypto personality Cobie, which prompted an investigation by Coinbase and led to the criminals’ eventual arrest.
• The trio allegedly generated $1.5 million from their scheme; each individual faces up to 40 years in prison.