Mediaboss Marketing

A former Coinbase product manager was sentenced to two years in prison on Tuesday on two conspiracy charges related to what the the Department of Justice called the first ever cryptocurrency insider trading tipping scheme.

Ishan Wahi, 32, pleaded guilty in February after being indicted last year over the scheme, which involved telling his brother and a friend which cryptocurrencies were set to be listed on the Coinbase crypto exchange on at least 14 occasions. The scheme netted the trio gains of about $1.5 million, according to the DOJ.

Todays sentence should send a strong signal to all participants in the cryptocurrency markets that the laws decidedly do apply to them, Damian Williams, the U.S. Attorney for the Southern District of New York said in a Tuesday statement.

Attorneys for Wahi did not immediately respond to Fortunes request for comment.

Although each count carried, respectively, a maximum sentence of 20 years, prosecutors called for him to face 36 to 47 months, between three and four years, in prison as part of a plea deal, Reuters reported.

In April, Wahi asked for a lighter sentence similar to that of his brother, Nikhil Wahi, 27, who was sentenced to 10 months in prison and ordered to pay $892,500 in forfeiture after pleading guilty to a wire fraud conspiracy charge. The other person Wahi gave information to, Sameer Ramani, has been charged but is still at large.

Attorneys said in a memorandum in April that Ishan Wahi had fully accepted responsibility for his role in the scheme, and that the ruining of his reputation was already a punishment.

Ishans acceptance of responsibility has been swift, sincere, and complete, Wahis lawyers wrote in a memorandum last month.

After Coinbase investigated suspicious trades, they called Wahi in for a meeting last year. Wahi tipped off his brother, Nikhil Wahi, and Ramani about Coinbases investigation and bought a plane ticket to India that was set to leave hours before the meeting. Prior to boarding, Wahi was stopped by law enforcement.

Wahis case comes after Nate Chastain, a former employee of NFT marketplace OpenSea was found guilty of wire fraud and money laundering in the first NFT-related insider trading case. Chastain was found guilty of using inside information he had about what NFTs were going to be listed on OpenSeas homepage to personally pocket thousands of dollars. Sentencing is set for August 22.

In the most high-profile cryptocurrency case, attorneys for disgraced FTX CEO Sam Bankman-Fried argued in an overnight filing that all but three of the now thirteen charges against him should be dismissed.

See the original post:

Former Coinbase employee sentenced to two years in crypto insider trading case - Fortune

NEW YORK, May 9 (Reuters) - Ishan Wahi, a former Coinbase Global Inc (COIN.O) product manager, was sentenced on Tuesday to two years in prison in what U.S. prosecutors have called the first insider trading case involving cryptocurrency.

U.S. District Judge Loretta Preska sentenced Ishan Wahi, 32, in Manhattan federal court after the defendant pleaded guilty in February to two counts of conspiracy to commit wire fraud.

The scheme involved a "massive abuse" of Coinbase's trust, Preska said during the sentencing hearing, adding that attempts to cover it up showed that Wahi and his co-defendents knew their actions were wrong.

It is one of several high-profile cryptocurrency-related cases brought by U.S. prosecutors in New York, including one against FTX founder Sam Bankman-Fried, who has pleaded not guilty.

Prosecutors have said Wahi shared confidential information with his brother Nikhil and their friend Sameer Ramani about which digital assets would be listed on Coinbase, one of the world's largest cryptocurrency exchanges.

The tipoff allowed the three men to make $1.5 million by trading 55 digital assets ahead of the listing announcements between June 2021 and April 2022, according to prosecutors.

Nikhil Wahi pleaded guilty in September to a wire fraud conspiracy charge, and in January was sentenced to 10 months in prison. Ramani remains at large.

At Tuesday's hearing, Ishan Wahi expressed remorse for his actions and their effect on his friends and family, several of whom were in court.

"I made a huge mistake that will follow me for the rest of my life," Wahi said.

Assistant U.S. Attorney Noah Solowiejczyk said during the hearing that Wahi's conduct was "not a one-off mistake" but a stream of tips over 10 months.

Wahi had asked in court papers for a sentence no longer than his brother's, citing other insider trading cases that resulted in little or no prison time.

Prosecutors had called for Ishan Wahi to spend more than three years in prison to deter other cryptocurrency insiders from misusing corporate information.

Prosecutors can charge fraud in instances in which deception was used to seek financial gain, regardless of the kind of asset involved. This gives the U.S. Justice Department more latitude to go after crypto-related wrongdoing than its civil counterpart, the U.S. Securities and Exchange Commission, which is limited to policing the securities markets.

The SEC has argued in lawsuits, including one it filed against Ishan and Nikhil Wahi over their trades, that many digital assets are securities. Ishan Wahi and the SEC have reached an agreement in principle to settle the claims, while Nikhil Wahi and the SEC are also in settlement talks, court papers showed.

Coinbase has said it does not list any securities.

Reporting by Jody Godoy and Luc Cohen in New York; Editing by Will Dunham

Our Standards: The Thomson Reuters Trust Principles.

Thomson Reuters

Jody Godoy reports on banking and securities law. Reach her at jody.godoy@thomsonreuters.com

Go here to read the rest:

Coinbase ex-manager sentenced to 2 years in prison in US insider trading case - Reuters

The launch of ChatGPT has caused quite the furore, igniting a heated debate about the dangers of artificial intelligence.

The White House recently called leading tech bosses to the table to reiterate their moral duty to protect the public from the risks of this evolving technology.

Meanwhile, the grandfather of AI, Geoffrey Hinton, has quit his role at Google and is now warning of the existential risk machine learning could pose to humanity.

Pundits caution that digital intelligence could give bad actors the power to spread misinformation and replace thousands of jobs, causing widespread unemployment.

In an apocalyptic vision, some even fear that once AI becomes more intelligent than human beings, we could face a scenario reminiscent of the famous I, Robot movie starring Will Smith, where humanoid robots rise against their human masters.

Indeed, anyone who has tried ChatGPT, the AI chatbot developed by OpenAI, will agree that its capabilities are quite remarkable, even at this early stage in its development.

Its not hard to imagine this useful chatbot evolving into a super intelligent technology, with which no human could ever compete.

Yet, amid all this fear of the unknown, we are failing to see the huge potential for AI to transform our everyday lives for the better.

Instead of issuing warnings about job losses, we should take a step back and consider the wider picture.

AI will finally allow us to automate menial, repetitive tasks, allowing humans to focus their energy on work that requires imagination, creative thinking and in-depth research.

Instead of wasting hours on routine jobs, such as data entry, document processing and customer service, humans will use AI to solve complex problems, reduce errors and ultimately improve productivity.

Those who fear AI fear change, but change equals progress.

The arguments against AI were hearing today are the same as those posed against the Industrial Revolution that began in the 18th century.

Yet without it, we wouldnt have electricity, modern medicine or any of the technological developments that are staples of modern life.

Of course, any major technological advancement will lead to an overhaul of the labour market, and AI is no different.

However, the opportunities created by AI will undoubtedly offset any short-term job displacement. While the World Economic Forum projects 85 million job losses by 2025 as a result of AI, it also estimates that 97 million new jobs will be created by this technology.

Another study found that investment in AI helps businesses transition to more educated workforces, with more employees holding university degrees and specialising in the strategically important STEM fields science, technology, engineering, and mathematics.

We should embrace technology that drives such innovation rather than lament its potential dangers.

As well as promoting intellectual development, machine learning can inject much-needed efficiency into most economic sectors, from hospitality to investment banking to, most of all, cryptocurrency.

Indeed, when crypto and AI join forces, they will truly become a force to be reckoned with. AI has the power to eliminate friction from the cryptocurrency user experience, finally creating a seamless end-to-end Web3 journey.

No more clunky transaction approval processes and jumping between applications.

Artificial intelligence will automate the time-consuming background operations of crypto protocols, leaving the end-user to enjoy a one-click experience akin to that of Amazon.

This will remove one of the major roadblocks in the way of mass crypto adoption, paving the way for the digital asset ecosystem to replace legacy financial systems that are no longer fit for purpose.

The potential applications for AI span the entire cryptocurrency sector, from data providers to investment tools.

For example, AI bots can trawl through blockchain data to provide valuable insights, seek out attractive yield opportunities across the entire market and use them to build investment portfolios.

Effectively, AI can be a cheaper, non-custodial replacement for costly investment advice and fund management, opening up the world of investment opportunities to those who historically havent been able to afford it.

As bots become more intelligent, they can take over daily actions such as staking, unstaking and approving transactions, freeing investors and traders to make major strategic decisions.

The crypto market, which includes currencies such as Bitcoin, pictured, has lost $2 trillion of its value in six months. Unsplash

The human versus machine juxtaposition is an outdated sci-fi notion designed for cheap entertainment thrills.

In reality, AI will enhance our lives and take industry, technology and the services sector to the next level.

New opportunities will emerge that we didnt even dare dream about before the emergence of machine learning. Instead of threatening humanity, AI will finally set us free.

Stefan Rust is chief executive of independent inflation data aggregator Truflation and former chief executive of bitcoin.com

Updated: May 10, 2023, 4:00 AM

More:

Why AI is the future of cryptocurrency - The National

Citing excessive energy use, noisy operations, pollution and electronic waste, Buncombe County put a one-year moratorium on any new cryptocurrency mining operations.

The vote in Asheville follows a ban on the server farms approved last year in Clay County, in the mountains southwest of Asheville. Neighboring Macon County is also considering a ban on the mining operations.

In December, Cherokee County passed a resolution asking the legislature for more power to regulate cryptocurrency mines.

Cryptocurrency mines use server farms to run complicated algorithms to mine Bitcoin and similar digital currencies. They use warehouses full of powerful computers that require a lot of electricity. The operations have brought complaints from nearby residents over the 24-hour noise from the servers and cooling equipment in previously quiet rural areas in the North Carolina mountains.

The server farms are attracted to western North Carolina by low-cost energy and lax zoning regulations, according to a recent report from the Environmental Working Group.

Cryptocurrency miners have also been looking for new places to set up shop since China banned most of their operations two years ago, according to the Associated Press.

Buncombe County Planning Director Nathan Pennington said the county is working on a new comprehensive plan.

This one-year pause gives us time to work with residents and craft standards, he said.

The commission passed the moratorium unanimously last week.

The moratorium will maintain the status quo by limiting any negative effects in neighborhoods impacted by this use until a proper regulatory scheme can be developed, the ordinance states.

The ban would expire after a year or when the county comes up with new rules for where the server farms can be located. It only includes unincorporated areas of Buncombe County.

They have proven to be a nuisance to neighbors and a threat to our environment, Chris Joyell, with the environmental group Mountain True, said during a public hearing over the temporary ban in Buncombe County.

There is no way to greenwash crypto mining. Even if miners claim to rely on renewable energy, their operations are still hogging energy that we would need to meet the county and state carbon reduction goals, he said.

But not everyone at the hearing supported the moratorium. Craig Deutsch told the commissions the moratorium could discourage new industry in the county.

The crypto mining operations, he said, could encourage innovation and bring new industry to the area.

Noise problems should already be addressed by noise ordinances, said Dennis Fassuliotis, director of the South Carolina Emerging Tech Association, speaking during the public hearing.

He also countered the environmental arguments against the server farms.

Bitcoin mining specifically does not produce any greenhouse gasses itself. It uses a mixture of the grid that everyone else uses, Fassuliotis told the commission. Bitcoin is the industry leader in sustainability.

New York lawmakers last year passed a 2-year ban on new cryptocurrency mines that wanted to retrofit old fossil-fuel power plants to power their servers.

Read more from the original source:

Another N.C. county moves to stop Bitcoin mines. Here's why - Spectrum News

In addition toupending established banking structures, cryptocurrency has transformedphilanthropic giving and philanthropy. The use of digital currencies for charitablepurposes has increased as they become more widely accepted. This articleexamines the expanding practice of using cryptocurrencies for charity purposesand demonstrates their profound influence on charitable donations.

For people andorganizations, cryptocurrency opens up a new channel for charitablecontributions. Cryptocurrencies promote transparency, security, and efficiencyin donations by utilizing blockchain technology. Philanthropists may helpcharities all around the world thanks to this decentralized and borderlessnature, cutting out traditional financial intermediaries and loweringtransaction costs.

Cross-borderdonations are no longer complicated or delayed by using cryptocurrency. The useof conventional techniques, such as wire transfers, might include drawn-outprocedures, expensive fees, and currency adjustments. Through the use ofcryptocurrency, contributors can send money to charitable organizations orpeople in need anywhere in the world, ensuring that aid is delivered quicklyand effectively to those who need it.

For people inunderdeveloped nations, cryptocurrency-based philanthropy has very importantimplications. Cryptocurrencies offer a way for direct access to funds andfinancial inclusion in areas with restricted access to conventional bankinginstitutions. Without the aid of middlemen, this empowerment enables people toparticipate in the economy, receive gifts, and improve their standard ofliving.

Keep Reading

Thearchitecture of cryptocurrencies, known as blockchain, promotes transparencyand accountability in charitable giving. The blockchain enables donors to trackand verify their donations, promoting high levels of transparency in thedistribution and use of funds. Due to the verifiable evidence, it offers of theresults of contributors' donations, this transparency fosters confidencebetween donors and charity organizations.

Traditionalcharitable strategies frequently involve middlemen and administrativeexpenditures, which lessen the overall impact of gifts. Due to the eliminationof these middlemen by cryptocurrency, administrative costs are decreased and abigger proportion of donations can go to the intended charitable organization.Donors can rest assured that their money is making a more significant andimmediate difference.

Donor anonymityand privacy are further advantages of cryptocurrency-based giving. While somecontributors prioritize privacy over public acknowledgement of theircontributions, others do not. Donors can support causes with cryptocurrencydonations while remaining anonymous, offering a level of anonymity that isn'talways achievable with conventional donation options.

Donations madein cryptocurrency have made it possible to sponsor creative ventures anddecentralized efforts. Platforms and protocols created expressly forcrowdfunding and philanthropic giving have been made possible by blockchaintechnology. Support for ground-breaking concepts, social companies, andgrassroots initiatives can be provided by individuals thanks to theseplatforms, which enable direct connections between donors and projects.

As a result ofcryptocurrency's inherent volatility, nonprofit organizations that needconsistent income have difficulties. To overcome this problem, severalmechanisms are being explored. By reducing price swings, stablecoins, which arecryptocurrencies backed by reliable assets, offer a solution. A more stable andpredictable environment for charitable giving in the bitcoin field is also beingensured by projects concentrating on volatility management and stabilizationfunds.

Collaborationbetween cryptocurrency charities and well-known nonprofit groups is growing.Major foundations and NGOs have taken notice of the possibilities ofcryptocurrencies and are already actively taking donations in the form ofdigital assets. By bridging the gap between conventional philanthropy and thecryptocurrency community, this partnership promotes broader acceptance andwidespread use of digital currencies in charitable giving.

Depending onthe country, cryptocurrency donations may provide tax advantages and incentivesfor donors. The use of cryptocurrencies contributionsis handled the same as regular asset contributions with tax benefits, such asexemptions or deductions. These rewards encourage people to utilizecryptocurrencies to donate to charitable causes, which promotes the expansionof cryptocurrency-based philanthropy.

While there aremany benefits to using cryptocurrencies for charitable purposes, there are alsodifficulties and issues to take into account:

Cryptocurrencyhas been hailed as a potentially transformative force in philanthropy andcharitable giving. However, despite the potential benefits, there aresignificant challenges to using cryptocurrency for charitable giving, includingthe prevalence of scams, fake projects, and fake coins.

One of the mainchallenges of using cryptocurrency for charitable giving is the prevalence ofscams and fake projects. In recent years, there have been numerous examples offraudulent ICOs (initial coin offerings), in which individuals or groups createfake coins or tokens and solicit investment from unsuspecting individuals.These scams can be difficult to detect and can lead to significant financiallosses for investors, including those who intended to donate to charitablecauses.

In addition toscams, there are significant challenges related to the verification ofcharitable organizations and projects. With traditional charitable giving,donors can typically research and vet charities before making a donation.However, with cryptocurrency, there is often limited information availableabout the organizations and projects that are seeking donations. This can makeit difficult for donors to determine the legitimacy of a charity or project and can lead to donations being misused or misappropriated.

Anotherchallenge is the lack of transparency in cryptocurrency transactions. Whileblockchain technology is designed to be transparent, the anonymity ofcryptocurrency transactions can make it difficult to track and verifydonations. This can make it challenging for charities to track and report onthe use of donated funds, and can also make it difficult for donors to ensurethat their donations are being used as intended.

Finally, thereare significant challenges related to the volatility of cryptocurrency prices.Cryptocurrencies, such as Bitcoin and Ethereum, are known for their wild priceswings, which can make it difficult for charities to budget and plan for futureprojects. This can make it challenging for donors to determine the valueof their donations, particularly if the value of the donated cryptocurrencyfluctuates significantly after the donation is made.

In recentyears, the usage of cryptocurrencies in philanthropy and charitable giving hasgrown significantly, opening up new possibilities for global giving,efficiency, and transparency. Cryptocurrencies provide quick cross-bordertransactions, transparency, and lower administrative costs, benefiting bothcontributors and nonprofits. It is clear that cryptocurrencies canrevolutionize charity, despite obstacles like volatility and regulatoryconcerns. Philanthropy is poised to become more accessible, transparent, andinfluential than ever before as more people and organizations realize theadvantages and embrace cryptocurrency-based donating.

In addition toupending established banking structures, cryptocurrency has transformedphilanthropic giving and philanthropy. The use of digital currencies for charitablepurposes has increased as they become more widely accepted. This articleexamines the expanding practice of using cryptocurrencies for charity purposesand demonstrates their profound influence on charitable donations.

For people andorganizations, cryptocurrency opens up a new channel for charitablecontributions. Cryptocurrencies promote transparency, security, and efficiencyin donations by utilizing blockchain technology. Philanthropists may helpcharities all around the world thanks to this decentralized and borderlessnature, cutting out traditional financial intermediaries and loweringtransaction costs.

Cross-borderdonations are no longer complicated or delayed by using cryptocurrency. The useof conventional techniques, such as wire transfers, might include drawn-outprocedures, expensive fees, and currency adjustments. Through the use ofcryptocurrency, contributors can send money to charitable organizations orpeople in need anywhere in the world, ensuring that aid is delivered quicklyand effectively to those who need it.

For people inunderdeveloped nations, cryptocurrency-based philanthropy has very importantimplications. Cryptocurrencies offer a way for direct access to funds andfinancial inclusion in areas with restricted access to conventional bankinginstitutions. Without the aid of middlemen, this empowerment enables people toparticipate in the economy, receive gifts, and improve their standard ofliving.

Keep Reading

Thearchitecture of cryptocurrencies, known as blockchain, promotes transparencyand accountability in charitable giving. The blockchain enables donors to trackand verify their donations, promoting high levels of transparency in thedistribution and use of funds. Due to the verifiable evidence, it offers of theresults of contributors' donations, this transparency fosters confidencebetween donors and charity organizations.

Traditionalcharitable strategies frequently involve middlemen and administrativeexpenditures, which lessen the overall impact of gifts. Due to the eliminationof these middlemen by cryptocurrency, administrative costs are decreased and abigger proportion of donations can go to the intended charitable organization.Donors can rest assured that their money is making a more significant andimmediate difference.

Donor anonymityand privacy are further advantages of cryptocurrency-based giving. While somecontributors prioritize privacy over public acknowledgement of theircontributions, others do not. Donors can support causes with cryptocurrencydonations while remaining anonymous, offering a level of anonymity that isn'talways achievable with conventional donation options.

Donations madein cryptocurrency have made it possible to sponsor creative ventures anddecentralized efforts. Platforms and protocols created expressly forcrowdfunding and philanthropic giving have been made possible by blockchaintechnology. Support for ground-breaking concepts, social companies, andgrassroots initiatives can be provided by individuals thanks to theseplatforms, which enable direct connections between donors and projects.

As a result ofcryptocurrency's inherent volatility, nonprofit organizations that needconsistent income have difficulties. To overcome this problem, severalmechanisms are being explored. By reducing price swings, stablecoins, which arecryptocurrencies backed by reliable assets, offer a solution. A more stable andpredictable environment for charitable giving in the bitcoin field is also beingensured by projects concentrating on volatility management and stabilizationfunds.

Collaborationbetween cryptocurrency charities and well-known nonprofit groups is growing.Major foundations and NGOs have taken notice of the possibilities ofcryptocurrencies and are already actively taking donations in the form ofdigital assets. By bridging the gap between conventional philanthropy and thecryptocurrency community, this partnership promotes broader acceptance andwidespread use of digital currencies in charitable giving.

Depending onthe country, cryptocurrency donations may provide tax advantages and incentivesfor donors. The use of cryptocurrencies contributionsis handled the same as regular asset contributions with tax benefits, such asexemptions or deductions. These rewards encourage people to utilizecryptocurrencies to donate to charitable causes, which promotes the expansionof cryptocurrency-based philanthropy.

While there aremany benefits to using cryptocurrencies for charitable purposes, there are alsodifficulties and issues to take into account:

Cryptocurrencyhas been hailed as a potentially transformative force in philanthropy andcharitable giving. However, despite the potential benefits, there aresignificant challenges to using cryptocurrency for charitable giving, includingthe prevalence of scams, fake projects, and fake coins.

One of the mainchallenges of using cryptocurrency for charitable giving is the prevalence ofscams and fake projects. In recent years, there have been numerous examples offraudulent ICOs (initial coin offerings), in which individuals or groups createfake coins or tokens and solicit investment from unsuspecting individuals.These scams can be difficult to detect and can lead to significant financiallosses for investors, including those who intended to donate to charitablecauses.

In addition toscams, there are significant challenges related to the verification ofcharitable organizations and projects. With traditional charitable giving,donors can typically research and vet charities before making a donation.However, with cryptocurrency, there is often limited information availableabout the organizations and projects that are seeking donations. This can makeit difficult for donors to determine the legitimacy of a charity or project and can lead to donations being misused or misappropriated.

Anotherchallenge is the lack of transparency in cryptocurrency transactions. Whileblockchain technology is designed to be transparent, the anonymity ofcryptocurrency transactions can make it difficult to track and verifydonations. This can make it challenging for charities to track and report onthe use of donated funds, and can also make it difficult for donors to ensurethat their donations are being used as intended.

Finally, thereare significant challenges related to the volatility of cryptocurrency prices.Cryptocurrencies, such as Bitcoin and Ethereum, are known for their wild priceswings, which can make it difficult for charities to budget and plan for futureprojects. This can make it challenging for donors to determine the valueof their donations, particularly if the value of the donated cryptocurrencyfluctuates significantly after the donation is made.

In recentyears, the usage of cryptocurrencies in philanthropy and charitable giving hasgrown significantly, opening up new possibilities for global giving,efficiency, and transparency. Cryptocurrencies provide quick cross-bordertransactions, transparency, and lower administrative costs, benefiting bothcontributors and nonprofits. It is clear that cryptocurrencies canrevolutionize charity, despite obstacles like volatility and regulatoryconcerns. Philanthropy is poised to become more accessible, transparent, andinfluential than ever before as more people and organizations realize theadvantages and embrace cryptocurrency-based donating.

See more here:

Transforming Philanthropy: The Impact of Cryptocurrency in Charitable Giving - Finance Magnates