The Legit Ledger Episode 13: NFT Insider Trading ̶ Recent Enforcement, Rulings and Why You Need an Insider Trading Policy
In this episode of The Legit Ledger, Sheppard Mullin attorneys Jim Gatto and Brittany Walter join host Yasamin Parsafar to discuss the latest developments in the federal government's insider trading case against Nathanial Chastain, a former head of product at NFT marketplace OpenSea.
What We Discussed in This Episode:
- What prompted the government to pursue this case?
- What charges were brought against Nathanial Chastain?
- Why did the Court refuse to dismiss based on Chastain’s argument that the case did not involve trading in securities?
- Why did the Court suggest that a couple of Chastain’s other arguments for dismissal might be valid?
- Why is it essential that companies who deal with NFTs consider implementing an insider trading policies?
About Yasamin Parsafar
Yasamin Parsafar is a partner with the Intellectual Property Practice Group in Sheppard Mullin's San Francisco office, where she serves as co-leader of the firm's Blockchain & Fintech team. Her practice focuses on protecting her clients' intellectual property rights through counseling, prosecution, enforcement and litigation. Yasamin leverages her litigation experience to strengthen and protect her clients' intellectual property, manage risks and position businesses to succeed in the event of a dispute. She frequently advises and protects brands venturing into web3 on various issues related to non-fungible tokens, metaverses, games, online marketplaces and other platforms.
About Jim Gatto
Jim Gatto is a partner with the Intellectual Property Practice Group in Sheppard Mullin's Washington, D.C. office, where he co-leads the Blockchain & Fintech Team. His practice focuses on blockchain, interactive entertainment, digital art, AI and online gambling. He advises clients on IP strategies, development and publishing agreements, licensing and technology transaction agreements, and tech regulatory issues. Jim has been involved with blockchain since 2012 and has been recognized as a thought leader by leading organizations, including Best Lawyers in America 2021-2022; Cryptocurrency, Blockchain and Fintech Trailblazer, The National Law Journal, 2018; and Thought Leader on Blockchain & Cryptocurrencies, National Law Review, 2018.
About Brittany Walter
Brittany Walter is an associate in the Intellectual Property Practice Group in Sheppard Mullin's San Diego (Del Mar) office, where she serves as associate co-lead of the firm's Technology & Commercial Transactions Team and is an active member of the Blockchain Team, Advertising Team and the Privacy and Cybersecurity Team. Brittany's practice focuses on technology transactions and counseling involving intellectual property, advertising and data privacy. She has a special focus on blockchain-based products and services, including non-fungible tokens, metaverses, virtual worlds and games.
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This podcast is for informational and educational purposes only. It is not to be construed as legal advice specific to your circumstances. If you need help with any legal matter, be sure to consult with an attorney regarding your specific needs.