Crypto News– Nathaniel Chastain, formerly the head of product at the NFT marketplace OpenSea, who had been sentenced to three months in prison for insider trading, has opted to begin serving his sentence while his appeal process is ongoing.
Former OpenSea Manager Decides to Start Serving Prison Sentence as Appeal Looms
Nathaniel Chastain‘s legal team submitted a letter to a New York District Court on Wednesday, notifying the judge of his decision to withdraw his bail application pending the appeal. In accordance with the court’s previous order, Chastain will voluntarily surrender himself by November 2, initiating his prison term while awaiting the outcome of his appeal.
OpenSea, once the world’s largest NFT marketplace, deals in unique digital tokens tied to various forms of content, such as art or music, serving as proof of ownership. In the last 24 hours, the platform witnessed trading volumes exceeding $2.4 million, ranking second to rival marketplace Blur, which boasted trading volumes exceeding $5 million, as per DappRadar data. Chastain held a significant role at OpenSea, with authority over the selection of NFTs and collections featured on the platform’s homepage. This visibility boost significantly influenced the exposure and potential value of those NFTs.
In an attempt to conceal his transactions, Chastain purportedly established multiple digital wallets and accounts to acquire and trade NFTs that were slated to be showcased on the platform.
Insider trading is an unlawful practice characterized by the buying or selling of publicly traded securities, such as stocks or options, based on non-public, confidential information typically known only to company insiders such as executives, employees, or board members. Insider trading is illegal in most jurisdictions because it confers an unfair advantage upon individuals and undermines the principles of fairness and transparency in financial markets.