ChainCatcher News: The U.S. Securities and Exchange Commission (SEC) stated that Jump Trading subsidiary Tai Mo Shan Ltd. will pay $123 million to settle charges of misleading investors during the TerraUSD collapse by propping up the coin.
The company, associated with Jump’s cryptocurrency division, made significant purchases during the TerraUSD collapse to support the failed stablecoin's $1 peg, thereby deceiving the market. The SEC charged Tai Mo Shan with negligence, noting that it conducted transactions worth $20 million that created a false impression of TerraUSD's stability.
Regulators also highlighted the company's role in underwriting TerraUSD's sister token, Luna, claiming it was involved in an unregistered securities offering.