OpenSea, which is currently the largest NFT trading platform in the crypto money industry, was brought up with a major scandal. Head of the OpenSea Product Department Nate chastain He has been accused of insider trading, and this is almost proven.
Chastain Insider Trading
OpenSea Senior Manager Chastain attracted attention due to many transfers to the known wallet address, and after investigating, it turned out that Chastain earned income from this. Chastain, who was determined to buy the important works of the new NFT projects without sharing them on the home page and without presenting them on this OpenSea platform, found that he was buying them at a very low price, and when these are presented later, they can be sold at a high price. prices and generate income continuously.
It is known that when OpenSea promotes the work of an artist or project on its home page, the price of this work increases significantly. In fact, we can think of it as a list of cryptocurrencies on Coinbase.
Twitter user Zuwu, on the other hand, found that many unknown wallets first bought the NFTs that were listed on the homepage, then sold them, and interestingly, they sent the funds to Chastain’s wallet. This brought the case to light.
Hey @open sea why does it appear @nachastain Do you have some secret wallets that seem to buy your main page drops before they appear on the list, then sell them shortly after the front page hype spike for a profit, then put them back in your main wallet with your punk on she?
– Zuwu🟩 👻🎃🦇 (@ZuwuTV) September 14, 2021
OpenSea officially accepted this situation by publishing a statement on the matter and stated that an investigation into the Chastain case has been launched. This actually poses a huge problem and research risk for cryptocurrency platforms. The crypto community is currently reacting to this situation.