Jane Street Seeks Dismissal of Terraform Insider-Trading Suit

Jane Street Groupurged a judge to throw out a lawsuit accusing it of trading on inside information ahead of the $40 billion crash of cryptocurrencies associated with Terraform Labs.

In a Thursday court filing, Jane Street denied insider-trading and market-manipulation claims brought by the bankruptcy administrator winding down Terraform’s business. It said the suit aimed to “extract cash from Jane Street to foot the bill for a fraud” the crypto firm itself perpetrated. Terraform co-founder Do Kwon pleaded guilty to fraud and was sentenced in December to 15 years in prison.

“It is well established that the direct ...