Jane Street Made A Record $40 B In Trading Revenue Last Year, More Than All Wall Street Banks

 The 10am slam in bitcoin, which we documented virtually every days since 2024 may have ended once Jane Street got busted for insider trading in the Terraform collapse, but that doesn't mean that the Wall Street HFT trading giant slowed down. On the contrary: according to Bloomberg, Jane Street Group reeled in a Wall Street record $39.6 billion of trading revenue last year, more than any Wall Street bank.

According to the report, the firm beat out all global investment banks after reaping $15.5 billion in the year’s final quarter, and with only 3,500 employees, it beat nearest rival JPMorgan by 11% during the year. The company's adjusted ETBIDA for the full year was a stunning $31.2 billion. 

While Jane Street’s profits were lifted by surging valuations of its stakes in privately held companies, the firm’s main business matching buyers and sellers across assets thrived on bouts of market volatility. The new annual record - which includes gains on long-term investments - shows "how the balance of power has shifted in one of the most lucrative arenas of global finance."

Jane Street’s "appetite for risk" helped the firm generate more than $11 million of revenue on average per employee.

Jane rivals Citadel Securities and Hudson River Trading also notched records of their own last year, pulling in a more modest $12.2 billion and $12.3 billion respectively, Bloomberg has previously reported. They and Jane Street have filled voids left by banks more focused on higher-returning businesses. JPMorgan posted $35.8 billion of trading revenue in 2025 and Goldman Sachs Group Inc. $31.1 billion.

For banks, Jane's ascent - marked with various regulatory mishaps - is a manifestation of the fears they have long harbored about someday losing ground to upstarts when US regulators imposed prop trading rules which sought to curb betting by deposit-taking institutions after the 2008 financial crisis. Nonbanks don’t face the same strictures on capital as those too-big-to-fail lenders, and they have capitalized aggressively.

Starting in 2000, Jane Street cut its teeth trading American depository receipts, and later specialized in exchange-traded funds. It has since expanded across asset classes around the world, often profiting from mismatches in prices. At its core an HFT firm, Jane Street developed technology for handling thousands of trades within seconds like other high-frequency firms, but it also reaps gains by holding some positions for hours, days and even weeks.

While it has kept a remarkable low profile, its recent public appearances have been less than laudatory: The company's record haul is confirmation that Jane Street, long known for its secrecy, was able to keep growing after getting thrust into the spotlight in mid-2025 when authorities in India accused of manipulating markets while running what had once been one of the firm’s most lucrative trading strategies. Jane Street has denied those allegations and is fighting them in court. In February, Jane Street was sued by the bankrupt Terraform Labs estate, accusing it of engaging in insider trading that precipitated the $40 billion crash of cryptocurrencies associated with Terraform; this week the HFT firm also urged a judge to throw out that lawsuit.

Jane Street’s stake in rising artificial intelligence venture Anthropic PBC was the driving force behind $830 million of third-quarter gains from bets on private firms. That September, Anthropic boasted a valuation of $183 billion. Since then, the maker of the popular Claude artificial-intelligence model and developer of the much-feared Mythos has raised money at a $380 billion valuation and later received offers from investors for a round of funding that could value it at about $800 billion or higher.

Jane Street is also in funding talks for cloud-computing startup Fluidstack Ltd. and recently invested an additional $1 billion in AI cloud services provider and CoreWeave Inc.

https://www.zerohedge.com/markets/jane-street-made-record-40-billion-trading-revenue-last-year-more-all-wall-street-banks

China Curbs US Investment In Tech Companies After Meta Acquisition Of Manus

 Following earlier news that China has blacklisted 7 EU defense and aerospace firms over their dealings with Taiwan, Bloomberg reports that China plans to restrict top technology firms, including leading AI startups, from accepting US capital without government approval. 

Chinese regulators, including the National Development and Reform Commission, have recently instructed several private technology firms to reject U.S. investment in funding rounds unless explicitly approved, ​the report said. The commission - a powerful state planning agency with broad policy-making powers - is now heading a multi-agency probe that includes the Ministry of Commerce into the deal and its repercussions, the people said.

AI startups Moonshot AI and StepFun were among the ​companies that received the guidance, the report said, adding ⁠that TikTok owner ByteDance has also been told it should not allow ​secondary share sales to US investors without clearance. The measures are aimed at ​preventing US investors from gaining stakes in sensitive technologies linked to China's national security.

The ‌heightened ⁠scrutiny follows Meta's more than $2 billion acquisition of AI startup Manus in 2025, which triggered investigations into foreign investments in Chinese companies and technology exports amid concerns the transaction could spur other startups to move advanced technology ​offshore.

At the heart of the post-Manus debate was the way the startup restructured to make a sale to a foreign company possible before any regulatory review in Beijing.  Manus was a Singaporean-incorporated firm, but its founders hailed from China. Launched in March 2025, Manus is a general AI agent capable of automating complex tasks, ranging from S&P 500 analysis to drafting sales pitches. A month later, its parent Butterfly Effect raised $75 million in a round led by Silicon Valley’s Benchmark, valuing it at $500 million. The investment triggered a probe by the US Treasury over potential violations of restrictions on investments in sensitive technologies.

In July, Manus relocated its China-based staff to Singapore, cutting dozens of roles in the process. Meta announced its acquisition in December after Manus surpassed $100 million in annualized revenue.

It remains unclear what other action Beijing will take following its investigation. Manus co-founders Xiao Hong and Ji Yichao had been barred from leaving China, the Financial Times reported in March.

For years, U.S. ​capital has played ⁠a significant role in China's technology sector, ranging from venture investments by firms such as Sequoia Capital ​and Benchmark to deep operating ties involving companies such ​as Apple, ⁠Microsoft and Tesla.

American pension funds and endowments have also been major backers of China-focused venture funds, helping fuel growth across internet platforms, electric vehicles ⁠and AI. Washington ​also imposed its own restrictions earlier this ​year, limiting U.S. investment in certain Chinese AI, semiconductor and quantum firms, citing security concerns.

China's new restrictions risk further isolating China’s recovering tech sector from the venture backing that has underpinned it for two decades, much of which was sourced from American pensions and endowments. It follows Beijing’s decision to restrict “red chips” - Chinese companies incorporated overseas - from seeking initial public offerings in Hong Kong, threatening to upend a decades-old playbook that helped Chinese companies tap foreign capital by floating overseas.

The twin moves suggest that regulators are worried about a leakage of homegrown technology abroad as Chinese-founded startups and companies explore international opportunities. In the wake of the Manus acquisition, many academics decried the loss of a valuable asset to the US. Many worried that the deal would encourage other startups to follow suit.

To be sure, Washington has restricted investments into certain Chinese technology sectors, for fear of helping advance its military or economic might. In 2025, US rules designed to curb investment in Chinese-owned semiconductor, quantum and AI companies took effect.

https://www.zerohedge.com/geopolitical/china-curbs-us-investment-tech-companies-after-meta-acquisition-manus

Dr. Oz Demands States Take Action On Medicaid Fraud

 by Zachary Stieber via The Epoch Times (emphasis ours),

The head of the Centers for Medicare and Medicaid Services (CMS) demanded that states across the nation take action to crack down on fraud in Medicaid, one of the federal government’s health insurance programs.

In letters to state Medicaid directors, CMS Administrator Dr. Mehmet Oz said they should develop and file with his agency a comprehensive strategy to ensure that Medicaid providers are legitimate.

“Corrupt individuals and organizations masquerading as health care providers are defrauding Medicaid, and American taxpayers, of billions of dollars each year, placing valuable resources out of reach for those the program was intended to serve: low-income senior citizens, children, and disabled individuals,” Oz wrote.

Oz had recently previewed the effort, saying it would involve proving whether the providers “actually exist.”

“I love Medicaid; I cannot say that more fervently,” Oz said at a summit held by Politico. “If you love something, you protect it. You don’t let it get defrauded. You don’t let it get taken advantage of.”

If states do not take action, then audits may be an option, he said.

CMS has been investigating Medicaid and Medicare, and officials have said they have identified billions in fraudulent or potentially fraudulent spending, leading to actions such as deferring $259 million in payments to Minnesota. They have had to clarify some claims, including acknowledging an error in calculations regarding New York.

The new letters said CMS is acting under its responsibilities outlined in federal law, including the Social Security Act, and that CMS understands that states face challenges administering the complex Medicaid program. Oz said in the letters that CMS analyses are suggesting “a persistent and growing Medicaid threat posed by sophisticated actors knowingly exploiting these complex systems for financial gains.”

“A foundational element of Medicaid program integrity is ensuring that only legitimate, qualified providers are enrolled and participating in the program,” Oz said. “Confirming that each state maintains accurate and regularly updated provider enrollment information is a critical foundation of CMS' efforts to safeguard Medicaid program integrity, as it supports effective screening, monitoring, and oversight of participating providers.”

States were instructed to notify CMS of revalidation plans within 10 days and to follow up within 30 days with the strategy to make sure that providers are valid. It did not include any audit threats for noncompliance.

CMS declined to comment on the letters.

Oz added in a video statement that criminals are costing billions in taxpayer funds each year, and taking resources away from the needy.

“Here’s the bottom line: It’s time to make sure that providers of high-risk services are valid and meet all the requirements to deliver care to Medicaid beneficiaries,” Oz said in the video.

States have the ability to define which providers are high-risk, which might include providers without national identifiers, according to Oz.

“These are the gaps that criminals, including foreign nationals, exploit,” he said. “Revalidation works. It forces accountability, it removes bad actors, and it sends a clear message that the Medicaid system is not an unguarded piggy bank.”

https://www.zerohedge.com/medical/dr-oz-demands-states-take-action-medicaid-fraud

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https://www.zerohedge.com/markets/lilly-slides-after-new-obesity-pill-prescription-data-disappoints-wall-street

China Blacklists EU Defense, Aerospace Firms Over Taiwan Dealings

 China has newly placed a slew of EU defense and aerospace firms on a control list, or effectively a new blacklist, reportedly with an eye on Taiwan tensions. It has barred its exporters from supplying dual-use items to seven EU firms, including FN Herstal and Omnipol a.s., according to a statement from the Chinese commerce ministry.

The ministry said the measure targets European defense companies that previously sold arms to Taiwan or maintained links with it, and stated the restrictions will not affect normal economic and trade exchanges with the European Union.

Chinese media file image

Beijing said it will continue working with other countries to safeguard peace and maintain a stable global supply chain, in its usual boilerplate rhetoric directed at the West regarding Taiwan, which China sees as its own.

Other firms named include Hensoldt AG, Excalibur Army, SpaceKnow Inc., VZLU Aerospace, and FN Browning. The companies are mostly based in Czech Republic, Belgium, and Germany.

"The MOFCOM spokesperson emphasized that the legally mandated export control measures target only a small number of EU entities involved in military affairs, entities that have participated in arms sales to Taiwan island or colluded with Taiwan authorities, and the measures only target dual-use items," state-run Global Times described further, in reference to China's Ministry of Commerce. 

"They will not affect normal trade and economic exchanges between China and the EU, and law-abiding EU entities have absolutely nothing to worry about," it added, citing the Commerce spokesperson.

All the while, Beijing has kept up its fiery denunciations, making clear there's "no space" for ambiguity on what China sees as its territory (Taiwan).

Earlier this month, Chinese leader Xi Jinping had welcomed the leader of Taiwan’s main opposition party for a rare direct meeting in the Chinese capital.

The symbolism of the timing couldn't be missed, as Xi invited Nationalist Party Chairwoman Cheng Li-wun to China ahead of the planned big mid-May summit with President Trump in which the Chinese leader could continue a push to dilute Washington's support for Taiwan.

However, the Trump-Xi meeting is still anything but assured as moving forward, given the ongoing Iran war and very uneasy ceasefire with little evidence of an offramp in sight. 

Also, Washington has suddenly this week charged Beijing with stealing US artificial ​intelligence labs' intellectual property on an "industrial scale".

China's Foreign Ministry on Taiwan:

There is but one China in the world. Taiwan is an inalienable part of China’s territory.

No one can stop the eventual reunification of China.

Reunification is presented as a matter of inevitability, not possibility.

Separatist attempts… pic.twitter.com/e0Xdz4bRyh

— Open Source Intel (@Osint613) April 22, 2026

The formal memo could upend the May summit before it even gets off the ground: "The US government has information indicating that foreign entities, principally based in China, are engaged in deliberate, industrial-scale campaigns to distil ​US frontier AI systems," Michael Kratsios, director of the White House Office of Science ​and Technology Policy, wrote in a memo shared on social media on ⁠Thursday, per Reuters and FT.

https://www.zerohedge.com/geopolitical/china-blacklists-eu-defense-aerospace-firms-over-taiwan-dealings