Lotta hate going around about this "insider trading issue."  First off if you didn't notice were in BTC land so its not like SEC jurisdiction matter but if we use them for a guide this is what it states.

Insiders trade stock  a LOT. A lot of higher ups have a substantial portion of their net worth in the underlying equity for the company they work for.  That being said when insiders trade large blocks of stock they have to submit a form with the SEC which can be found on edgar http://www.sec.gov/edgar.shtml .  If you look through some popular companies there are a lot of these kind of filings.  Since edgar is hard to manage Yahoo has an aggregated one and here is insider transactions for MSFT http://finance.yahoo.com/q/it?s=MSFT .  You'll see a lot of gates on there obviously.

What ken did by buying shares would not be illegal in the real world he would just have to file his actions with the sec which he obviously cant do in BTC land.  What would be considered illegal would be if ken knew that ACTM was purchasing LC for example, im making this up, and bought up tons of shares of LC before the news was public.

All this being said it is usually considered a bullish bet that if the CEO is buying shares that he believes the company is mispriced and cheap