• Nikhil Wahi, the brother of a former Coinbase manager, was sentenced to 10 months in prison on Jan. 10 for insider trading.
• Nikhil Wahi and his friend, Sameer Ramani, used anonymous Ethereum (ETH) wallets and made over $1 million on trades between July 2021 and May 2022.
• Nikhil Wahi pleaded guilty to committing wire fraud in September, while Ishan Wahi pleaded not guilty.

On January 10, 2021, Nikhil Wahi, the brother of a former Coinbase manager was sentenced to 10 months in prison for insider trading. The U.S. prosecutors alleged that Nikhil’s brother, Ishan Wahi, had tipped him and his friend, Sameer Ramani, with confidential Coinbase information. This information allowed Nikhil and Sameer to make over $1 million in profits from trades involving anonymous Ethereum (ETH) wallets.

The criminal charges were brought up against the two brothers in July 2022. Nikhil, who is 26 years old, pleaded guilty to wire fraud in September, while Ishan pleaded not guilty. Sameer Ramani, who was also included in the arrest warrant, was outside of the U.S. borders at the time and has not made any appearance in the case yet.

The prosecutors had recommended that Nikhil Wahi be sentenced to a minimum of ten months and a maximum of sixteen months in prison. However, his defense lawyers managed to settle on a ten-month sentence. This was because they argued that Nikhil’s primary motivation was to repay his parents for funding his college education and that he had never been arrested before.

The case of Nikhil Wahi is an important reminder of the consequences of insider trading and the importance of following the law. It also serves to highlight the need for stricter laws and regulations for cryptocurrency trading. As the use of cryptocurrency grows, so does the risk of illegal activity and it is up to regulators to ensure that this type of crime is punished and that investors remain safe.