Shulou(Shulou.com)11/24 Report--

Ishan Wahi, a former product manager of the US cryptocurrency exchange Coinbase, was reportedly sentenced to two years in prison on Tuesday local time. In February, Wahi pleaded guilty to two counts of conspiracy to commit telecom fraud as part of a cryptocurrency insider trading case.

The case has been closely watched in part because of the potential impact of a parallel lawsuit filed by the Securities and Exchange Commission on the workings of the US encryption industry.

Six of the nine tokens involved are currently traded as securities on Coinbase, meaning Coinbase operates an unregistered stock exchange, the SEC said.

In March, the SEC told Coinbase it planned to take legal action against a range of businesses, including the company's spot market. Coinbase has repeatedly said it does not have securities listed on its exchange.

Us federal prosecutors and the SEC claim that Wahi disclosed tokens that will be listed on Coinbase to his brothers and friends. Last September, Wahi's brother Nikhil Wahi pleaded guilty to conspiracy to commit telecom fraud and was sentenced to 10 months in prison. Last month, the SEC said it had reached an agreement to settle two parallel charges.

Welcome to subscribe "Shulou Technology Information " to get latest news, interesting things and hot topics in the IT industry, and controls the hottest and latest Internet news, technology news and IT industry trends.