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Is this really insider trading, if none of the alleged perpetrators were insiders, nor was there anyone breaching a duty to protect the information. It seems l

• RockyMcNuts 11y ago
  Well, I'm not a lawyer but sounds kind of illegal to hack companies to acquire non-public material information and profit from it. If it's legal, sounds like a promising startup for YC, smart hackers changing the world, they should apply to the next cycle!
  • andrewchambers 11y ago
    Of course the hacks are illegal, he was asking whether using the data should be classified as insider trading.
    • RockyMcNuts 11y ago
      'Of course hacks are illegal', but paying someone to hack and profit from the inside information is OK? http://www.bloomberg.com/news/articles/2015-08-11/hackers-100-million-insider-trading-shop-sold-data-on-demand http://www.bloomberg.com/news/articles/2015-08-11/hackers-10... 'Insider trading' is trading on material nonpublic information that was inappropriately acquired from an 'insider'. There are situations that are gray areas but this does not appear to be one of them.
• kosievdmerwe 11y ago
  It's insider trading if you trade based on non-public information. So if you tell your family that your company is going to do something that will influence the stock price and they trade using that information (no matter how vague that information was) they are guilty of insider trading.
• tptacek 11y ago
  "Insider trading" is in this case shorthand; they traded based on information they obtained fraudulently, which is enough for a 17(a)/10b-5 case.