Jane Street Capital is doing what Jane Street does best: trading. Even as it faces a lawsuit from the Terraform Labs bankruptcy administrator alleging insider trading, the New York trading firm hasn’t skipped a beat in its Bitcoin activities. On March 16, the firm received 205.36 BTC (worth £15.08 million), and onchain data shows it’s been actively moving Bitcoin throughout the legal drama. Here’s the thing about crypto drama: the paperwork doesn’t stop the spreadsheets. Let’s break it down.
The Lawsuit That Started It All
Terraform Labs’ bankruptcy administrator isn’t messing around. The lawsuit alleges that Jane Street engaged in insider trading and strategically dumped Bitcoin right when the U.S. market opens at 10 AM EST—a move that allegedly hastened the collapse of Terraform Labs. The original Terraform collapse in 2022 was catastrophic: its twin cryptocurrencies (TerraUSD and LUNA) crashed, wiping out an estimated £40 billion in investor losses. Terraform Labs filed for Chapter 11 bankruptcy in January 2024, and now the administrators are pointing fingers at Jane Street. The firm calls the claims “baseless, opportunistic”—but the timing has certainly raised eyebrows.
The “10 AM Dump” Mystery
The crypto community has long been convinced that Jane Street orchestrates a coordinated Bitcoin sell-off every morning at 10 AM EST. According to crypto influencer Justin Bechler, the firm allegedly executes algorithmic selling to buy Bitcoin ETF shares at a discount—a strategy made possible because Jane Street is an authorised participant and liquidity provider for major Bitcoin ETFs (BlackRock, ARK 21Shares, Fidelity, Franklin Templeton). But here’s the thing: when Jane Street got sued, the “10 AM dump” suddenly stopped happening. Bitcoin actually surged during U.S. trading hours instead of tanking.
However, not everyone buys the conspiracy. CryptoQuant research head Julio Moreno dismissed the allegations, arguing that what Jane Street does—buying spot Bitcoin and selling futures—is standard delta-neutral trading that every fund does. The real question isn’t whether Jane Street trades; it’s whether they’re breaking the law whilst doing it.
The Bottom Line
Jane Street continues trading Bitcoin without legal restrictions, despite the insider trading allegations. The firm’s trading activity remains unchanged, suggesting either the lawsuit has no teeth or the firm is confident in its defence. What’s clear is that crypto market dynamics are under scrutiny like never before—and the eyes are firmly on how this case unfolds.
FAQ
What exactly is Jane Street being sued for?
The Terraform Labs bankruptcy administrator alleges that Jane Street engaged in insider trading and deliberately dumped Bitcoin at specific times (10 AM EST), hastening the collapse of Terraform Labs and wiping out £40 billion in investor losses.
What’s the “10 AM dump”?
A theory popular in the crypto community that Jane Street co-ordinates large Bitcoin sell-offs every morning at 10 AM EST when U.S. markets open, allowing them to buy Bitcoin ETF shares at a discount through their role as an authorised participant.
Is Jane Street allowed to trade Bitcoin whilst being sued?
Yes. Jane Street is not legally restricted from trading Bitcoin, and recent onchain data shows the firm continues to actively trade, including receiving 205.36 BTC worth £15.08 million on March 16.
What’s delta-neutral trading?
It’s a strategy where a trader buys spot assets (like Bitcoin) whilst simultaneously selling futures contracts to hedge market risk—a standard practice used by many funds to maintain price neutrality.
Why does this matter for Bitcoin investors?
If Jane Street is manipulating the market at specific times, it could distort Bitcoin’s natural price discovery. The lawsuit and resulting scrutiny may force greater transparency around how large trading firms operate in crypto markets.
DISCLAIMER
Effective Date: 15th July 2025
The information provided on this website is for informational and educational purposes only and reflects the personal opinions of the author(s). It is not intended as financial, investment, tax, or legal advice.
We are not certified financial advisers. None of the content on this website constitutes a recommendation to buy, sell, or hold any financial product, asset, or service. You should not rely on any information provided here to make financial decisions.
We strongly recommend that you:
- Conduct your own research and due diligence
- Consult with a qualified financial adviser or professional before making any investment or financial decisions
While we strive to ensure that all information is accurate and up to date, we make no guarantees about the completeness, reliability, or suitability of any content on this site.
By using this website, you acknowledge and agree that we are not responsible for any financial loss, damage, or decisions made based on the content presented.
MORE NEWS
Disclosure & Editorial Standards
MJBurrows is not authorised or regulated by the Financial Conduct Authority (FCA). The content on this website — including articles, calculators, and tools — is for general informational and educational purposes only. It does not constitute personal financial, investment, tax, or legal advice and does not take into account your individual circumstances, financial situation, or objectives.
Nothing on this site is a personal recommendation to buy, sell, hold, or otherwise deal in any financial product, asset, or service. You should always conduct your own research and seek advice from a qualified, FCA-regulated financial adviser before making any financial decisions.
Our calculators produce estimates based on simplified models using HMRC-published rates for the current tax year. They cannot account for every individual circumstance and should not be relied upon as exact figures. Tax rules and rates may change — verify current rates with HMRC or a qualified tax adviser.
Projections are not guarantees. Where our tools show future values (investment growth, pension projections, compound interest), these are hypothetical illustrations based on assumed growth rates. Past performance does not guarantee future results. The value of investments can go down as well as up.
Market data displayed on this site is provided by third-party sources including Twelve Data, Yahoo Finance, and CoinGecko. We do not guarantee the accuracy, completeness, or timeliness of third-party data.
This content is designed for UK residents and reflects UK tax rules, thresholds, and legislation. It may not apply to other jurisdictions.
Using this website does not create a professional-client relationship of any kind. MJBurrows is not responsible for any financial loss, damage, or decision made based on the content presented. By using this site, you accept these terms.
This disclaimer may be updated from time to time without prior notice. Last reviewed: 23 April 2026.
MJBurrows is an independent UK personal finance publication, written and edited by Matthew Burrows. There is no parent company, no investor group, and no advertising sales team — decisions about what to cover and how to frame it are made by Matthew alone. Our full Editorial Policy sets out how the site operates in detail.
Commercial model. As of April 2026, MJBurrows generates no revenue. The site carries no display advertising, no affiliate links, no sponsored content, no paid product placements, and no pay-for-coverage arrangements. If this changes in future, it will be disclosed openly on the Editorial Policy page.
Sources. Articles and tools reference primary sources — HM Revenue & Customs (HMRC), gov.uk, the Bank of England, the Office for National Statistics (ONS), the Financial Conduct Authority (FCA), Companies House, and UK government departmental publications (DWP, Treasury). Calculator data uses HMRC-published rates for the 2026/27 tax year. Market data (tickers, asset prices) is provided by Twelve Data, Yahoo Finance, and CoinGecko.
Verification. Every published article is fact-checked before going live. Numerical claims are traced to their primary source, quotes are checked against the original speaker or document, and calculator outputs are tested against HMRC worked examples. See our verification and accuracy policy for the full process.
Corrections. If you spot an error, please report it via the Corrections page. A three-tier severity system commits to specific response times:
- Tier 1 — Urgent (material reader harm, defamatory statements, regulatory or legal issues): acknowledged within 24 hours, page actioned within 24 hours, correction published within 48 hours of confirmation.
- Tier 2 — High (significant factual errors that misinform readers): acknowledged within 3 working days, correction published within 7 working days of confirmation.
- Tier 3 — Standard (minor factual errors, dated references, missing context): acknowledged within 7 working days, correction published at the next regular content review (within the quarter).
Significant corrections are logged on the public Corrections log.
Updates and review cadence. Calculators are reviewed at least quarterly, plus event-driven updates when HMRC publishes new rates (Budget, Autumn Statement, new tax year). Guides are reviewed at least twice a year, with major rewrites whenever underlying regulation changes. Tax-year-sensitive content is prioritised for review at the April tax-year transition.
Get in touch. For editorial enquiries — corrections, story tips, reader questions — the address is contact@mjburrows.com. The contact page is at mjburrows.com/contact. Every email is read personally by Matthew.
