How this INDIAN man CRASHED the entire US STOCK MARKET?

Narinder Singh Sarao, also known as the "Hound of Hounslow," is a British trader who gained notoriety for his role in the 2010 "Flash Crash." On May 6, 2010, the U.S. stock market experienced a dramatic plunge, wiping out nearly $1 trillion in market value in just minutes before quickly recovering.

Sarao, working from his parents' home in Hounslow, London, used a trading technique called "spoofing" to manipulate the market. Spoofing involves placing large orders to buy or sell futures contracts with no intention of executing them, creating a false impression of demand and influencing prices. Sarao’s actions contributed to the extreme volatility seen during the Flash Crash.

In 2015, Sarao was arrested by UK authorities at the request of the United States and was eventually extradited to face charges. He pleaded guilty to wire fraud and other charges in 2016. Although he faced significant prison time, his cooperation with U.S. authorities led to a reduced sentence. Sarao’s case highlighted vulnerabilities in financial markets and led to increased scrutiny of high-frequency trading practices.