Jump Crypto Unit Settles with SEC for $123 Million Over TerraUSD Misconduct

December 21, 2024

Jump Crypto’s wholly owned subsidiary, Tai Mo Shan, has agreed to a $123 million settlement with the U.S. Securities and Exchange Commission (SEC) for its role in misleading investors about the stability of the Terra USD (UST) stablecoin.

Jump Crypto, a subsidiary of Chicago-based private trading firm Jump Trading, was an integral part of the Terra ecosystem. The company is currently under investigation by the U.S. Commodity Futures Trading Commission (CFTC).

Tai Mo Shan Settles with SEC Over Misleading Claims About TerraUSD

On December 20, SEC highlighted Tai Mo Shan’s deceptive practices during the UST uncoupling crisis. The company attempted to stabilize UST by purchasing over $20 million worth of the stablecoin.