Jane Street Seeks to Dismiss Terraform Lawsuit, Claims It Attempts to Shift Blame

Odaily Planet Daily News Quantitative trading firm Jane Street has petitioned a court to dismiss the insider trading and market manipulation lawsuit filed against it by Terraform Labs, which accuses the firm of causing the collapse of the UST/LUNA algorithmic stablecoin.

In documents submitted to the U.S. District Court for the Southern District of New York, Jane Street stated that the lawsuit is "meritless" and represents an attempt by Terraform's bankruptcy estate to shift responsibility for the collapse of the multi-billion dollar ecosystem onto a third party.

The firm is asking the court to dismiss the entire case "with prejudice," meaning the plaintiff cannot refile the same claims again.

Jane Street further pointed out that the fraudulent conduct related to Terraform has already been prosecuted, adjudicated, and penalized, and that it was not involved. Do Kwon has previously pleaded guilty to conspiracy and wire fraud charges and is currently serving a 15-year prison sentence. A jury has also found Terraform and Kwon guilty of securities fraud.