Jump Trading, a major player in crypto market-making, is reestablishing its U.S. cryptocurrency operations after scaling back in recent years due to regulatory challenges.
The Chicago-based firm, which had maintained digital asset trading internationally, is now expanding its presence domestically as the crypto market sees renewed momentum.
The decision to rebuild its U.S. crypto division comes as trading volumes rise and the regulatory landscape appears more favorable.
Jump Trading Rebuilds U.S. Crypto Operations
According to CoinDesk, Jump Trading is actively hiring crypto engineers and plans to establish roles focused on U.S. policy and government relations.
The move marks a strategic shift for the firm, which previously reduced its crypto workforce and spun off its Wormhole project in response to heightened scrutiny.
Jump Trading faced significant setbacks in 2022 when it was linked to the collapse of both the TerraUSD stablecoin and the FTX exchange.
The implosion of TerraUSD wiped out approximately $40 billion in investor funds, while FTX’s downfall left Jump with an estimated $300 million in losses. The firm later became one of FTX’s largest creditors.
Following these events, Jump scaled down its crypto division, cutting its workforce by half at its peak of 150 employees.
Regulatory Scrutiny and SEC Settlement
Regulatory pressure also played a role in the company’s retreat. Jump Trading agreed to pay $123 million last year to settle an SEC investigation, though it did not admit wrongdoing.
However, with a shifting regulatory environment under the Trump administration, the firm sees an opportunity for renewed expansion in the U.S.
Beyond its market activities, Jump Crypto has become more involved in the political landscape. The firm donated $15 million to Fairshake, a super PAC supporting pro-crypto congressional candidates in the 2024 election cycle.
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