 "Jane Street, Sebi")
Arbitrage refers to the practice of simultaneously buying and selling an asset in different markets to profit from tiny price differences caused by market inefficiencies. Arbitrage plays a role in making financial markets more efficient by bringing the prices of the same asset closer to parity across markets. Market abuse, on the other hand, refers to a range of unethical and illegal activities that can undermine the integrity of financial markets.
Whether Jane Street’s actions were legal arbitrage or market abuse is the core question in the enforcement action initiated recently by the Securities and Exchange Board of India (Sebi).
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