Caixin: Rumors that Chinese regulatory authorities are examining Jane Street's trading behavior in China's ETF market

LUNA-1,52%

Odaily Planet Daily reports that there are rumors that Chinese regulators are examining Jane Street’s trading behavior in the Chinese ETF market. However, a person close to Jane Street stated, “We are unaware of these rumors and have no reason to believe they are true. These rumors should not be linked to Jane Street.” This week, Jane Street, along with its co-founders and two employees, was accused of insider trading, fraud, and market manipulation. These actions are also believed to have accelerated the collapse of TerraUSD (UST) stablecoin and its sister token Luna, which together lost $40 billion in 2022.

Founded in 1999, Jane Street is one of the world’s largest proprietary quantitative trading firms. In 2024, it is expected to generate over $20 billion in net trading revenue with nearly $13 billion in net profit. Unlike hedge funds, Jane Street does not accept external client funds, which results in lower disclosure obligations compared to traditional asset management firms. This structure has helped maintain its long-standing mystery. (Caixin)

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