Former OpenSea Manager Nathaniel Chastain Wins Appeal Against Conviction
Nathaniel Chastain, a former manager at the OpenSea NFT marketplace, had his convictions for wire fraud and money laundering overturned by the US District Court for the Southern District of New York on July 31. The court found that jury instructions were erroneous regarding the legal standards for fraud and property interest.
Key points from the case include:
- Chastain was convicted in 2023 for insider trading related to token listings.
- The court noted the jury could have ruled differently if properly instructed on property law requirements.
- Chastain's actions involved purchasing tokens before they were listed, manipulating market prices.
Initially sentenced to three months in jail, three months under house arrest, three years' supervised probation, 300 hours of community service, a $50,000 fine, and return of 15.98 ETH, Chastain’s legal team argued NFTs are not securities or commodities. The court partially agreed, leading to the possibility of retrial in the future.