That doesn't really turn on any crypto-related concepts at all, but rather false/deceptive disclosures about the security itself. That actually would be equall

That doesn't really turn on any crypto-related concepts at all, but rather false/deceptive disclosures about the security itself. That actually would be equally illegal to do with regular securities too - you don't fuck around with disclosure documents, that's an absurdly easy way to go straight to jail. > These traders allegedly created the false impression that more than $2.5 million worth of NSGs were traded daily on BitForex during the first 60 days and that the price of NSGs was steadily increasing due to investor demand. According to the complaint, however, the manipulation scheme collapsed when investors tried to sell their NSG tokens, because there were no actual buyers, causing the token's trading price and volume to fall precipitously." This is also the fund owners doing something nefarious - that doesn't mean that somebody else executing a transaction according to the contract and the market could be held accountable because the fund's customers lost money. Someone has to be on the other end of every transaction, that is how a market works.