Article: How Regulating GameStop’s ‘Market Manipulation’ Could Harm Crypto

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How Regulating GameStop’s ‘Market Manipulation’ Could Harm Crypto

Benjamin Sauter, Steven Perlstein, William McGovern and David McGill, 02 March 2021

The ongoing roller-coaster ride of GameStop, dogecoin and other so-called meme stocks has led day traders, market makers and exchanges to attack each other with knee-jerk accusations of “market manipulation.” When this happens, the primary winners are government regulators seeking to expand the scope of their authority. Industry cries of market “manipulation” – from all sides – are not only shortsighted. They also risk setting the market on a path towards an enforcement framework that all market participants may come to regret, no matter what side they think they are currently on.

Reddit takes on Wall Street
Since early this year, by sharing tips and organizing on social media platforms such as Reddit and Twitter, individual traders have been able to rally prices of meme stocks to unbelievable heights. First, it was GameStop, AMC and a handful of other targets, with traders sending prices skyward 1,500% or more. Then, traders set their sights beyond the securities markets: dogecoin (DOGE) rose over 800% in 24 hours after a tweet from Elon Musk rallied the masses behind it.

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Article: Former Deutsche Bank traders convicted of trying to manipulate gold and silver prices

Article - Media, Publications

Former Deutsche Bank traders convicted of trying to manipulate gold and silver prices

Bloomberg, 26 September 2020

Prosecutors behind a sweeping US crackdown on market “spoofing” scored a big win on Friday when former Deutsche Bank traders Cedric Chanu and James Vorley were convicted of fraud for manipulating gold and silver prices.

A federal jury in Chicago, after three days of deliberations, concluded Mr Chanu and Mr Vorley made bogus trade orders between 2008 and 2013 to illegally influence precious metals prices. The week-long trial was the latest US prosecution of a “spoofing” case since the global market “flash crash” in 2010. Continue reading “Article: Former Deutsche Bank traders convicted of trying to manipulate gold and silver prices”

Article: Ex-Deutsche Bank Gold Traders Found Guilty in Spoofing Trial

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Ex-Deutsche Bank Gold Traders Found Guilty in Spoofing Trial

Bloomberg, 26 September 2020

Prosecutors behind a sweeping U.S. crackdown on market “spoofing” scored a big win Friday when former Deutsche Bank AG traders Cedric Chanu and James Vorley were convicted of fraud for manipulating gold and silver prices.

A federal jury in Chicago, after three days of deliberations, concluded Chanu and Vorley made bogus trade orders between 2008 and 2013 to illegally influence precious-metals prices. The weeklong trial was the latest U.S. prosecution of a “spoofing” case since the global market “flash crash” in 2010. Continue reading “Article: Ex-Deutsche Bank Gold Traders Found Guilty in Spoofing Trial”

Article: South Dakota man linked to Russian spy sentenced for fraud

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Investigations Newsletter: Russian National Sentenced to Prison for $100 Million Cyber Fraud Conspiracy

Associated Press, 13 August 2020

A former conservative operative who was once romantically linked to a Russian agent was sentenced Monday to seven years in federal prison in South Dakota.

Paul Erickson pleaded guilty to wire fraud and money laundering as part of fraudulent investment schemes he operated for many years, the Argus Leader reported.

Erickson was not charged in connection to his romantic relationship with Maria Butina, who was deported in October after admitting she sought to infiltrate conservative U.S. political groups and promote Russia’s agenda. He came under the scrutiny of federal investigators who were monitoring Butina but her role in his downfall did not come up in court. Continue reading “Article: South Dakota man linked to Russian spy sentenced for fraud”