2024

Wormhole

Bitcoin ETF

Aptos

The Commodity Futures Trading Commission (CFTC), American financial regulatory authority, has opened an investigation into Jump Trading. This comes at the backdrop of major problems at Jump, such as huge losses and ties with known market manipulation.
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 🔔 US CFTC Investigating <a href="https://twitter.com/jump_?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">@jump_</a> Trading's Crypto Activities: Fortune ! The Commodity Futures Trading Commission (<a href="https://twitter.com/hashtag/CFTC?src=hash&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">#CFTC</a>) is investigating Chicago-based trading firm Jump's crypto activities. Known for algorithmic trading, Jump faced a series of challenges in the crypto market and… <a href="https://t.co/tOjpDHjIpe" target="_blank" rel="noopener noreferrer nofollow">pic.twitter.com/tOjpDHjIpe</a>— Altcoin Alerts (@Altcoin_Alerts) <a href="https://twitter.com/Altcoin_Alerts/status/1803857388400971839?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">June 20, 2024</a>
 </blockquote>
 </div>
</figure>
Series of Misfortunes Impact Firm
Jump’s challenges escalated with a $325 million loss due to the <a href="https://www.cryptotimes.io/2023/11/18/wormhole-emerges-post-320m-hack-forges-independence/" target="_blank" rel="noopener noreferrer nofollow">Wormhole platform</a> hack, a critical player in decentralized finance bridging various blockchains. Additionally, the collapse of the cryptocurrency exchange FTX in November 2022 saw Jump endure nearly $300 million in losses, positioning them as a major market maker deeply affected by the debacle.
Despite no direct allegations or charges from the SEC or DOJ regarding the TerraUSD stablecoin collapse, Jump’s mention in these cases has brought further attention to their role in the crypto market.&nbsp;
Consequently, Jump has reduced its crypto activities, distancing itself from projects like Bitcoin ETF bids and spinning off other initiatives.
CFTC’s Crypto Oversight Intensifies
Rostin Behnam, the Chair of CFTC, seems to suggest that there will be more enforcement actions soon especially on the crypto space due to the increasing regulation. This action is consistent with the commission’s remit of regulating cryptocurrency products and trading.
This investigation into Jump Trading by the CFTC marks another development in the scrutiny of cryptocurrency activities by U.S. regulators, reflecting an ongoing commitment to establishing clearer oversight in this rapidly evolving market.
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
 Also Read: <a href="https://www.cryptotimes.io/2024/06/04/aptos-labs-ceo-shaikh-joins-cftc-digital-assets-subcommittee/" target="_blank" rel="noopener noreferrer nofollow">Aptos Labs CEO Shaikh Joins CFTC Digital Assets Subcommittee</a>
</blockquote>

CFTC Scrutinizes Jump Trading After Major Market Upsets

The Crypto Times

Other articles published on Jun 20, 2024

Bitcoin’s Dominance Persists With Over 86% of Holders in Profit Despite Market Volatility

Ripple CTO Compares Ethereum and SEC to China and Bitcoin

Fireblocks and Tres Form Alliance to Streamline Crypto Audits

Introducing Pepe Unchained: A Brand New Pepe-Based Meme Coin to Buy in Summer 2024

BREAKING: Coinbase Announces the Listing of a New Altcoin

Aleph Zero announces ZK-proving layer with ‘subsecond’ proving times

Join our free newsletter for daily crypto updates!