Kanav Kariya, head of Jump Trading’s digital assets business, announced that he will resign as head of Jump Crypto amid widespread reports of an investigation by the Commodity Futures Trading Commission (CFTC ).
In a social media post dated June 24, the former director of the cryptocurrency trading company wrote that he intends to focus on personal relationships and reading while researching his next project . Kariya also spoke about the past few years at Jump Crypto, which he described as “eventful.”
Take a look back at the “eventful” years of Crypto.
Jump Crypto’s problems began in February 2022 when hackers exploited the Wormhole Bridge and fraudulently minted 120,000 Ethereum tokens (wETH), which were then exchanged for Ether (ETH) and other tokens on the Solana blockchain. After the incident, Jump Crypto, owner of the developer behind the Wormhole Bridge, took responsibility for the damage by depositing an equal number of Ether tokens, worth $321 million at the time of the hack, into the bridge.
about: Crypto Super PAC raises $169M after $10M donation from Jump Crypto.
In May 2022, the infamous Terra ecosystem collapse affected the trading company, leading to a lawsuit against investors alleging that Jump Crypto pocketed $1.3 billion in profits by coordinating with Terra founder Do Kwon, to manipulate the price of Terra’s UST, in order to preserve intellectual property rights. Peg of the algorithmic stablecoin to the US dollar. The lawsuit also alleged that Jump Crypto profited from obtaining LUNA tokens at a significant discount, sometimes 99% of the market price, as a reward for its support of UST and the Terra ecosystem.
Later that same year, concerns about Jump Crypto’s exposure to FTX began to surface. At the time, company spokespeople allayed investors’ fears, explaining that the trading company was “one of the best capitalized and most liquid companies in the cryptocurrency industry,” while reassuring the public that Jump Crypto would not be shut down.
CFTC investigation.
Although the exact scope of the CFTC’s ongoing investigation into Jump Crypto has not yet been revealed, the probe could include trading activities raised in the investors’ lawsuit and cited as part of the SEC’s case against Terraform Labs.
It is important to note that the CFTC’s investigation into Jump Crypto is not an indication of guilt or wrongdoing, as the regulator has not yet reached any conclusions.
review: Polygon’s Missing MATIC Puzzle: Everyone’s Doing It, Says ChainArgos.
