I don't know what to tell you. You continue to pick out sentences from sources and assume that either there is no relative context and just make up your own interpretation of it. You can't just read a line like that and make up your own meaning for it. You need to understand those in the context of the rules it's explaining (
https://www.law.cornell.edu/cfr/text/17/240.10b-5).
Maybe the law is too dense. Here's another analysis of the law for you to consider: https://federal-lawyer.com/the-ultimate-guide-to-the-federal...
From there:
"federal courts have interpreted Rule 10b-5 to allow for enforcement action when the following four elements are satisfied:
Breach of a fiduciary duty or violation of a relationship of “trust and confidence” in connection with the purchase or sale of a corporate security;
Use or possession of material nonpublic information in connection with the purchase or sale of a corporate security;
Knowing or reckless use of the material nonpublic information when purchasing or selling the corporate security at issue; and,
Reaping a personal benefit as a result of the purchase or sale."
And again, whether there's a duty of trust or confidence to the source of the information is a key factor in whether it can be traded on legally.
