According to TechFlow, on October 17, Bloomberg reported that video game developer FractureLabs filed a lawsuit against well-known cryptocurrency market maker Jump Trading in the U.S. Federal Court in Chicago, accusing it of fraud and deception by manipulating the price of DIO tokens.

It is reported that FractureLabs originally planned to raise funds by issuing DIO tokens for the first time on Huobi (now renamed HTX) exchange in 2021. The company hired Jump Trading as a market maker for DIO and lent 10 million tokens to its subsidiary, while sending 6 million to HTX for sale.

The lawsuit alleges that Jump Trading systematically liquidated DIO holdings, causing the token price to drop to about 0.5 cents, generating millions of dollars in profits for itself. Jump then repurchased about $53,000 worth of tokens at a significant discount and returned them to FractureLabs, before terminating the market maker agreement.