Insider Trading in Crypto and Its Impact on Investors
Insider trading occurs when someone buys or sells assets using confidential, non-public information, gaining an unfair advantage in the market.
While traditional markets have established laws against this practice, the crypto space is still catching up, and the stakes are higher than ever.
In the crypto world, insider trading might involve someone with knowledge of upcoming events—like partnerships or regulatory changes using that info to trade before it's publicly disclosed.
For example, if an insider knows about a major partnership that could increase a token’s value, they could purchase the token early and profit when the news goes public and the price surges.
This creates an unlevel playing field, damaging market trust.
When certain individuals profit from secret information, it discourages others from participating, ultimately harming the ecosystem.
As regulators zero in on crypto markets, traders must stay informed about the legal and ethical implications of trading on insider knowledge.
💸 BTC ETF vs. Gold ETF
Eric Balachunas compared inflows into the BTC ETF to the Gold ETF, based on the fact that the two assets are often compared for diversification.
🔼 In 9 months, the BTC ETF has attracted $17.7 billion and represents 5% of BTC's capitalization.
While the Gold ETF is only 1% of gold's capitalization.
It took gold 22 years to achieve these results, while BTC took only 9 months.
But gold also has a bigger capitalization 😉
📉 CZ’s Tweet Becomes Reality as Bitcoin Dips!
As Bitcoin slides to $94,000, the crypto community recalls Binance CEO CZ’s prophetic tweet from December 17, 2020:
Waiting for the new headline: Bitcoin "CRASHES" from $101,000 to $85,000. Save the tweet.
While Bitcoin’s drop began at $108,000, a strong support level is around $90,000.
Will this be the next stop, or is there more turbulence ahead? 🤔
🎢 From boom to bust in one move. On December 14, a whale took a daring leap: borrowing $25M USDC on Aave, investing it in Hyperliquid, and opening a long BTC position at an entry price of $101,662.9.
When BTC hit a new ATH above $108K, they were sitting on an unrealized profit of over $4.4M. But ambition trumped caution.
Today, after a sharp market dip, they faced a $3.75M loss.
This isn’t just a story about money—it’s a lesson in balancing greed and patience, and how easily success can flip into failure.
In a world where everyone’s chasing the big win, it’s not just about riding the highs; knowing when to call it a day makes the real champion.
💼 Speaking of scams… watch out for low-skilled or unskilled jobs (like data entry) that offer disproportionately high wages.
They’re almost certainly fake.
These jobs are advertised on X too. I’ve seen many ads for unskilled work recently that pay many times what you’d expect.
That should always be a red flag.
Whether these are clickbait, scams, or drainers, be careful! They’re almost always too good to be true.
PS: You can read my other related crypto post below
1.MATRIPORT predicts $160k Bitcoin by 2025
2.Tesla shares hot a new all time high since 2021
3.one trader turn $2500 into $200000
4.doge t-shirt from trump are now on sale
5.fart coin blast to new heights
7.uptitwise predicts a bullish 2025 for crypto
Watch the video below
A very happy Christmas to you my friend, from cold and snowy BC Canada.
Same to you buddy. A prosperous new year