Crypto Assets and Insider Trading Law’s Domain

Abstract

An extensive literature evaluates whether and how best to regulate “insider” trading. Far less attention has been given to what sorts of assets should be subject to insider trading regulation to begin with – just equity securities, all sorts of investments, or some point in between? This Article offers a theory of the domain of insider trading law. It does so in the context of a contemporary controversy: whether insider trading law applies, and should apply, to crypto assets such as Bitcoin. It shows that crypto assets are within the domain of insider trading law, alongside securities and commodities – but that many other familiar investment assets lie beyond the domain.

Keywords: ICO, blockchain, fintech, smart contract, IPO, bitcoin, initial coin offering, venture capital, insider trading