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Story: Jane Street Reportedly Dumped Hundreds of Millions Before Terra’s $40 Billion Wipeout

By Dan Saada

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What the Backchannel Allegation Actually Means. The Telegram channel angle is what makes this story stick.

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Transparency Gaps and What Comes Next. The exact mechanics of how Jane Street accessed the channel, who else was in it, and what…

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A private Telegram channel. Hundreds of millions of dollars. And a $40 billion crash just hours away.

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That's the core of what's being alleged against Jane Street, the influential trading firm now facing scrutiny over moves it reportedly made in the final hours before the Terra…

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The specifics of how the unwinding was executed remain murky.

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No one has put out a clean account of exactly how the trades were structured, what counterparties were involved, or how much of the position was actually shed before Terra's…

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The Telegram channel angle is what makes this story stick. Private messaging groups have been a fixture in crypto trading circles for years — it's pretty much an open secret that…

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The crypto market runs, at least in theory, on the idea that information is accessible to everyone.

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More context: Washington Moves on Crypto Rules as National Security Fears Mount

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And the broader context matters here. Terra's collapse in May 2022 wasn't just a bad week for one token.

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The exact mechanics of how Jane Street accessed the channel, who else was in it, and what information was actually flowing through it — none of that has been disclosed.

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Calls for regulatory review are getting louder. It's probably not surprising. When a firm of Jane Street's size and reputation is tied to allegations like this, it's hard for…

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Jane Street's reputation in traditional finance is built on sophisticated, data-driven trading. The firm is known for moving fast and managing risk well.

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More context: Prometheum Finally Trades Crypto After Nearly a Decade of Regulatory Groundwork

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The full picture of what happened in the hours before Terra collapsed is still being pieced together.

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