What is the difference between insider trading and market manipulation?

Insider trading and market manipulation are both forms of white-collar crime, but they are two distinct offenses. Insider trading involves using confidential or otherwise non-public information to trade in securities or other investments. To commit insider trading, a person must be in possession of some form of confidential information in order to gain an unfair advantage. The person with the information does not necessarily have to be an employee of the company, but could be a friend of the company, or someone with access to the information in another capacity. Market manipulation, on the other hand, involves artificially inflating or deflating the value of a security by creating false or misleading information, or by creating an artificial demand or supply through the use of various deceptive practices. Market manipulation is often done in order to benefit the manipulator in some way, either by allowing them to buy or sell securities at a price that is higher than the current market value, or by causing a huge gain or loss in the value of a security that the manipulator has a stake in. In summary, insider trading is the illegal use of private information to gain an unfair advantage in trading securities, while market manipulation involves the use of false or misleading information to influence the value of a security. Both offenses are considered white collar crime and punishable by law.

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What is the difference between insider trading and market manipulation?

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