The head of Jump Trading's digital division, Kanav Kariya, has announced his resignation as president of Jump Crypto amid reports of an investigation by the Commodity Futures Commission (CFTC). 🕵️♂️
Jump Crypto ran into trouble in February 2022 when hackers exploited the Wormhole bridge and illegally issued 120,000 wrapped Ethereum tokens (wETH). Jump Crypto then took responsibility for the damage.
In May 2022, the collapse of the Terra ecosystem impacted the trading firm, leading to an investor lawsuit. They claim that Jump Crypto made $1.3 billion in profits by colluding with Terra founder Do Kwon to manipulate the price of Terra's UST.
The exact scope of the CFTC's upcoming investigation into Jump Crypto is unknown at this time.