Jump Trading

But, you know, once it gets through our system, you get to places like the Algo, the market makers, which are all extremely sophisticated software shops.

I mean, you're talking Citadel, Jane Street, Jump Trading.

These are like low latency, high frequency folks.

So I'm not so worried about them scaling to meet the demand.

Would you rather see call options? Would you rather see 800,000 call options on CoreWeave? I know I wouldn't.

And then the article talks to a whole bunch of people at like Jump Trading and Susquehanna who are creating basically like using options, creating insurance for various investors and traders and companies.

Again, you don't typically see things like that, this in a, in a, in an active bubble.

So it's all fair statement, right? Yeah.

And also your work on tick sizes fed into the EU's MIFED two roles.

You also collaborate with trading firms, notably Jump Trading.

So yeah, thank you so much for joining today.

And yeah, happy to have you.

And the long time scale's property of fractional ground motion are going to be valid and the long time scale of the session model are not going to be valid and as one example you can do the statistical experiment that i have mentioned take the model from content us just do this scaling experiment immediately you're going to say again this does not make any sense right so this is the way to do it so i like to present like this If you take the null hypothesis, right, it is rough, it's going to be hard to disprove it.

If you take the null hypothesis that this is Brownian-driven, it's going to be easy to find a simple statistical experiment to disprove it.

And then also for some firms, do you think it's really relevant that, I mean, for HFT firms and firms like Jump Trading that you work with, for them it might be very relevant, but how relevant is it if in the long time scale it kind of fades out or this effect is the same? How relevant is it then for other parties that are, for example, hedging on more of like a longer time scale, like a pension fund or a bank?

True, but you know, as we have seen in the history of options, even if you are just working on short timescales, the long timescales are kicking in.

Reuters, you know, again, thank God for the journalists, honestly.

Reuters uncovered three people who, supposedly there are 10 clients to this horrible system where you receive Trump's stupid tweet or whatever 50 milliseconds ahead of everybody else, right? So the three people, the clients that they have identified so far are Bloomberg, of all things, Susquehanna International Group, which is founded by Jeff Yass, who's a big mega donor, and then some firm called Jump Trading.

So again, and I remember hearing this story, like I don't know if I saw this on like 60 Minutes or something, but the whole idea behind this 50 millisecond thing is that These these larger traders can exercise trade so quickly that that doing it even a little bit before everyone else, because let's be honest, the Trump tweets are really tantamount to kind of insider trading tips.

Right.

Following a report from President

Trump's Twitter clone, Truth Social has signed deals with Bloomberg and high-frequency trading firms Susquehanna and Jump Trading for faster access to the president's posts, to the tune of between $60,000 and $100,000 per month.

Truth Social announced the fast access product back in July.

And for the first time since their founding 57 years ago, the Milwaukee Brewers are World Series champions, beating the Tampa Bay Rays 4-1 in Game 5 of the World Series last night.

and one infrastructure market forming underneath everything.

Sean Wang announced a compute trading track featuring brokers, exchanges, and Jump Trading's compute division explicitly treating GPU capacity like a financial asset.

For founders buying large blocks of inference, spot and futures markets could eventually change how capacity risk gets managed.

Let agents design the workflow, but keep the gate yours.

If Jump can legally do something, we probably can too." This single quote from the lawsuit exposes the alleged internal mindset driving Jane Street's crypto operations.

It suggests the firm's strategy was not based on complex algorithmic predictions, but rather on pushing the absolute limits of legality by mimicking the opaque behaviors of other massive trading firms like Jump Trading.

Unfortunately, a lot of the case filing is redacted.

In fact, all of the evidence in the days around the alleged insider trading isn't publicly available.

By May 9th, 2022, UST had lost its peg and was tumbling below 80 cents, prompting desperate Terraform executives to seek an emergency rescue.

Utilizing his insider connections, Bryce Pratt reached out directly to Do Kwon, dangling the prospect of a massive bailout by offering to buy between 200 and 500 million US dollars in the steeply discounted cryptocurrency to help stabilize the ecosystem.

Kwon directed the Jane Street team to coordinate the rescue with Bill de Soma, the co-founder of Jump Trading.

By stepping into the inner circle of these desperate negotiations, Jane Street gained access to highly sensitive, non-public financial data regarding the true severity of Terraform's distress.

That is Apple, NVIDIA, Tesla, and Microsoft, and they're doing that onto Solana through its new Securitize Stock platform.

And the tokenized shares, guys, will initially trade on Securitize's Solana-based platform, with Jump Trading providing liquidity and transaction settling in USDC.

And each token will be backed one-for-one by actual share and designed to preserve benefits such as dividends as well as voting rights.

And Securitize, guys, they also have plans to expand trading to New York Stock Exchange's planned 24/7 digital platform and also the upcoming OKX Tokenized Security venue.

Oracle collapsing days of work into minutes with ChatGPT and Codex.

Jump trading scaling quant research with longer running AI workflows that still keep humans in the review loop.

I flagged the jump trading one specifically because even the quant shop, people who live and die by verification, keeps the human reviewing the output.

If a trading firm with real money on the line isn't letting the model run fully autonomous, maybe that's your signal too.

Now let me end on the one that's just a genuinely good story because not everything today is doom about who checks the machine.