Jane Street Acquires 5% Stake in Cipher Mining Amid Market Buzz

Cipher Mining Inc. (NASDAQ:CIFR) has attracted significant investor interest following a disclosure from Jane Street Group, LLC, which revealed a 5% passive stake in the bitcoin mining company. According to a Schedule 13G filing submitted to the Securities and Exchange Commission on October 24, Jane Street has acquired approximately 19.68 million shares of CIFR, sparking a surge in the company’s stock price during after-hours trading.

The investment by Jane Street comes amidst a heated debate regarding the valuation of CIFR. Prominent supporters, including Eric Jackson of EMJ Capital, have been vocal about the company’s potential. Jackson has framed CIFR not only as a bitcoin miner but also as a significant player in the artificial intelligence (AI) sector. Alongside Jackson, Daniel Newman, CEO of Futurum Group, has described CIFR as his “#1 AI utility play,” highlighting the company’s impressive market capitalization of $5 billion, cash reserves of $1.3 billion, and zero debt, while emphasizing its potential to meet the growing demand for AI infrastructure.

Market Reactions and Criticism

The announcement of Jane Street’s investment has not been without controversy. Rittenhouse Research responded with sarcasm, suggesting that Jane Street’s involvement is inconsistent with its reputation as a proprietary trading firm focused on short-term gains. A post on X (formerly Twitter) stated, “they intend to hold this position for years, maybe even decades!” This critique implies that Jane Street’s stake in CIFR may be part of a complex delta-neutral options strategy rather than a straightforward long-term investment.

In a related note, Rittenhouse Research previously commented on CIFR’s challenges in pivoting towards AI, citing remarks from CEO Tyler Page regarding difficulties in attracting partnerships with major companies. Their perspective contrasts sharply with the successful transitions seen in other firms, such as Galaxy Digital Inc. (NASDAQ:GLXY).

CIFR’s Performance and Future Prospects

Despite the skepticism, Cipher Mining has delivered remarkable returns in 2025. As of the latest trading session, shares of CIFR closed at $17.26, reflecting a 7.11% increase, with an additional rise of 8.49% in after-hours trading. The stock has shown a staggering year-to-date advance of 257.25% and a year-over-year increase of 208.68%. These figures position CIFR favorably within the market, as evidenced by its strong performance across various time frames according to Benzinga’s Edge Stock Rankings.

In broader market movements, major U.S. indices also experienced upward trends, with the S&P 500 closing 0.58% higher at 6,738.44, the Nasdaq 100 rising 0.88% to 25,097.42, and the Dow Jones increasing 0.31% to 46,734.61 on the same day.

As the narrative around Cipher Mining evolves, it continues to attract attention from both supporters and detractors within the investment community. With influential investors backing the company, its trajectory remains a topic of significant interest in the financial markets.