How is insider trading of NFTs a felony if it doesn’t involve a 10b-5 securities violation? The wire fraud theory in U.S. v. Nate Chastain, former OpenSea employee.

Yesterday, the U.S. Attorney for the Southern District of NY Damian Williams announced an indictment against Nathaniel Chastain who allegedly traded at least 45 NFTs while working at OpenSea based on confidential business information that OpenSea would feature the NFTs on its website (thereby attracting greater demand). Chastain allegedly profited by selling the NFTs at…

Read More

Complaint: Timothy McKimmy v. OpenSea for loss of Bored Ape Yacht Club NFTs

Web3 promises a better, decentralized world, not controlled by “Big Tech” Internet platforms like Facebook. Blockchain is at the center of this movement to decentralization. But, when something goes wrong, it’s difficult to undo. Transactions on blockchain are permanent. And the names of recipients of transactions on blockchains are not readily identifiable. Anonymity reigns supreme.…

Read More

OpenSea users experience suspected phishing attack

February 19, 2022 was a bad day for OpenSea. It is still investigating but apparently some nefarious person engaged in a phishing attack on OpenSea users that resulted in the theft of at least 254 NFTs. The thief reportedly has $1.7 million in ETH from sales.

Read More

OpenSea founders Devin Finzer, Alex Atallah become first NFT startup billionaires after $300M Series C funding

OpenSea, the largest marketplace for NFTs, just secured Series C funding of $300 million, with a valuation of the company at $13.3 billion. In July, the valuation was $1.5 billion, with a $100 million round of funding. As the financial gurus debate whether $13.3 billion is too high, we have a more simple, if not…

Read More

Game maker Konami to drop Castlevania 35th anniversary NFTs on Jan.12 5 pm – Jan.14 9 pm EST

Amidst disagreement over NFTs among gamers, Konami is moving forward with a 35th anniversary collection for its game Castlevania on Jan. 12, 5 pm ET to Jan. 14, 9 pm ET. The Castlevania 35th anniversary NFTs will be sold on Open Sea here.

Read More

Buckle up: NFTs skyrocket in sales on New Year’s 2022

Sales of NFTs exploded on New Year’s Day 2022 reaching its highest level since October. (NFT Stats, which must be tracking beyond OpenSea doesn’t have Jan. 1 as a peak day, but instead has Dec. 31 as the day with the highest volume of NFT sales (62,126) since October. Either way, NFTs are skyrocketing–again.) OpenSea…

Read More

Why did The Open Dao give away free $SOS tokens to all OpenSea buyers of NFTs on Christmas?

Just when you thought you could take a vacation and have the holidays off from the fast and furious NFT world, The Open Dao decides to launch its program of air dropping free $SOS tokens to anyone who ever bought an NFT on OpenSea. Details of the air drop can be found here. OK, you…

Read More

Insider NFT trading — was that wrong?

In a famous episode of Seinfeld, George Constanza was confronted by his boss who said he had been informed that George had sex with the cleaning woman on the desk in his office. George replies: “Was that wrong? Should I have not have done that? I tell ya, I got to plead ignorance.” This week,…

Read More

OpenSea’s Head of Product Nate Chastain gets into hot water for snatching up hot NFTs based on insider knowledge

UPDATE Sept. 16, 2021. The Verge reports that Nate Chastain appears to be no longer working for Open Sea due to the incident. That escalated quickly! OpenSea appointed a third party to undertake an independent review of the incident. OpenSea, a platform where people can buy and sell NFTs, is facing a controversy today. Its…

Read More

HOT ITEM: The Sevens NFTs public launch on OpenSea today at 12 PM ET

The Sevens NFTs are going public today on OpenSea at 12 pm ET. The Sevens are “7,000 unique aesthetic collectibles with references from pop culture, anime, games, memes, movies, and more.” The starting bid for 1 NFT is 2 ETH (or about $7,522), with 2,000 NFTs up for sale. Will you invest?? The Sevens already…

Read More