Terraform Administrator Accuses Jane Street of Insider Trading in Terra Collapse

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The court-appointed administrator handling the bankruptcy of Terraform Labs has filed a lawsuit against trading giant Jane Street, alleging insider trading and market manipulation tied to the downfall of the multibillion-dollar Terra ecosystem.

In a complaint lodged Monday in Manhattan federal court, administrator Todd Snyder named Jane Street, co-founder Robert Granieri, and employees Bryce Pratt and Michael Huang as defendants. The suit accuses them of misusing confidential information and distorting market prices for personal gain.

According to the heavily redacted filing, Jane Street allegedly leveraged relationships with individuals inside Terraform to obtain material non-public information.

The complaint claims the firm then used that intelligence to trade tokens linked to the Terra blockchain in ways that intensified the platform’s eventual collapse.