Comment by spaceman_2020

3 years ago

What was the probability that one of JaneStreet’s alumni, Sam Bankman Fried, would use JaneStreet’s brand name to build up credibility and then pull off the biggest ponzi scheme in human history?

Slightly lower than one of MIT's alumni doing the same.

It's telling that Jane Street stayed away from the whole mess despite the connection.

  • They were happy to trade crypto and provide market making facilities throughout the ordeal.

    They only decided to “step back” now that regulators are bringing the hammer down

    This wasn’t an innocent bystander firm. They were complicit, either directly or indirectly

    • Buying prospectors' pyrite for the little it’s worth is different from driving aspiring miners to mountains without food or water.

> use JaneStreet’s brand name to build up credibility

How is that different from bragging that you finished MIT, Harvard, Oxford, you worked at Google or that your startup is in YC.

  • Well for one, JaneStreet is an active market maker, trader, and investor in crypto, including in many projects created and/or backed by SBF