Sebi’s Jane Street ban: Zerodha’s Nikhil Kamath shocked trading firm ‘kept at it despite warnings’; quips ‘they’re used to lenient US regulatory regime’
Times of IndiaFriday, July 4, 2025 at 2:38:22 PM
India’s market regulator, SEBI, has banned Jane Street, a major US trading firm, over alleged market manipulation in options trading. Zerodha co-founder Nikhil Kamath expressed surprise that the firm continued risky practices despite warnings, joking that they might be too accustomed to the looser regulatory environment in the US. While Kamath supports SEBI’s crackdown, he’s worried that if big players like Jane Street scale back operations, it could hurt India’s options market, where such firms play a huge role.
Editor’s Note: This isn’t just about one firm getting slapped with a ban—it raises bigger questions about how global trading giants operate in India’s markets. SEBI’s move shows it’s serious about cracking down on manipulation, but there’s a flip side: if foreign firms pull out, liquidity in options trading could take a hit, affecting everyday investors too. Kamath’s reaction highlights the tension between tighter oversight and keeping markets attractive to big players.
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