Kanav Kariya, President of Jump Crypto, a division of Jump Trading focused on digital assets, has announced his departure from the role. This comes amid speculation about an ongoing investigation by the Commodity Futures Trading Commission (CFTC) into Jump Crypto. Kariya plans to focus on personal relationships and reading in the near term while exploring future career opportunities. He described his tenure at Jump Crypto as "eventful."

Jump Crypto came into the spotlight after a cyberattack in February 2022 resulted in 120,000 wrapped Ethereum tokens (wETH) being fraudulently minted via the Wormhole bridge. In response, Jump Crypto deposited an equivalent amount of Ether tokens, valued at $321 million at the time, to cover the losses. As the overseer of the Wormhole bridge’s development, Jump Crypto took responsibility for the breach.

By May 2022, Jump Crypto was also linked to the collapse of the Terra ecosystem. The company was accused of making $1.3 billion by allegedly manipulating the price of Terra’s UST in collaboration with Terra founder Do Kwon to maintain the stablecoin’s U.S. dollar peg. Additionally, allegations claimed that the firm acquired LUNA tokens at significant discounts, often 99% below market value, as compensation for supporting UST and the Terra ecosystem.

Later that year, speculations arose regarding Jump Crypto’s exposure to FTX, prompting company representatives to reassure investors of Jump Crypto’s strong financial health and stability.

The CFTC’s investigation might relate to issues raised in both the investor lawsuit and the Securities and Exchange Commission’s case against Terraform Labs, though the specifics remain unclear. It is important to note that the CFTC investigation does not imply Jump Crypto has been found guilty of any wrongdoing, as the investigation is still ongoing without any official statements.