Jane Street says crypto trading is growing rapidly

Jane Street actively trades global equities, exchange-traded funds (ETFs), bonds, and options.

Global market maker and trading firm Jane Street Group, whose growing footprint across Wall Street has come amid a massive growth in the market, says it sees more adoption across the crypto trading space.

The firm, according to Bloomberg, says cryptocurrency trading offers a “clear growth area”, citing the company’s increased number of traders now into crypto.

Turner Batty, one of the firm’s founding traders, the last sixteen months has seen dozens of employees around the world focus on crypto trading. While the number is still relatively small compared to those at Wall Street rivals, Jane Street says related fields like tax and accounting are seeing a jump in dedicated staff.

The liquidity provider says demand from institutional investors has been growing, despite Bitcoin and other crypto-assets seeing their worst bloodbath since May last year.

The firm’s Head of Institutional Strategy Mina Nguyen told Bloomberg that the platform had recorded a steady jump in inquiries. 

They range from established asset managers, sovereign wealth funds, endowments, and private wealth institutions, Nguyen added.

According to him, these growing groups of investors are being driven by the need to be well-positioned in case the crypto regulatory climate in the US becomes clearer. He noted that some, like sovereign wealth funds, have shown interest in getting direct exposure to cryptocurrencies.

Jane Street’s growing reputation comes from its active trading of global equities, corporate bonds, exchange-traded funds (ETFs), and options. 

The firm highlights on its website that it is actively involved in more than 5,000 ETFs across the globe. It also leverages cutting-edge technology to avail its order-book liquidity in 45 countries worldwide.

Crypto is thus a critical sector to venture into, given the spike in trading interest in the sector even as volatility decimates bulls after a stellar 2021. 

Other than digital asset trading, the New-York based platform is reportedly eyeing opportunities in the decentralised finance exchange niche.

One of Jane Street’s partners is Robinhood Markets LLC.