The United States Commodity Futures Trading Commission (CFTC) has launched an investigation into Jump Crypto, a prominent market maker in the digital asset space. This move follows a series of concerns and controversies surrounding the company's activities in the crypto market.

According to reports, the CFTC is scrutinizing Jump Crypto's involvement in crypto trading and investment activities. While there is no evidence of wrongdoing at this point, the regulator's concerns are fueled by the company's history of involvement in several high-profile hacks and implosions. These incidents have led to significant financial losses and have forced Jump Crypto to reevaluate its focus on crypto.

Jump Crypto's journey in the crypto space began in 2021 when it launched its crypto division. The company quickly established itself as a major player in the market, providing liquidity to newly launched tokens and developing several top projects. However, its involvement in the $325 million hack of Wormhole, a decentralized finance platform, and the FTX implosion in 2022, which led to a loss of up to $300 million, have raised significant regulatory concerns.

The CFTC's investigation into Jump Crypto reflects the regulator's growing efforts to combat regulatory violations in the crypto market. In May, CFTC Chairman Rostin Behnam announced that more crypto regulation through crackdowns could be expected in the next six to twelve months. With Jump Crypto already under scrutiny, it is likely that the company will face a major regulatory crackdown in the near future.