Jane Street's alleged secret scheme to profit from Bitcoin volatility
Users on the social media platform X (Twitter) claim that the investment fund Jane Street may have manipulated Bitcoin prices to profit from its volatility. According to their model, the fund accumulated BTC on the spot market while simultaneously opening large short positions via derivatives. Then, using algorithms, it would flood the market with Bitcoin, pushing down the price, locking in profits from the shorts, buying back Bitcoin at lower prices, and repeating the cycle.
According to users’ estimates, this scheme could have generated around $10 billion in profit for the company over three months in 2025. They also observed that all posts were deleted from Jane Street’s official X account, possibly indicating attempts to conceal information.
If confirmed, this would represent significant market manipulation in the cryptocurrency space, potentially leading to stricter oversight and regulation of such trading practices in the future.