Jump Trading accused of causing Terraform Labs collapse; administrator claims $4 billion in damages

2025-12-19 03:00:09

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【Crypto World】On December 19th, a major lawsuit has attracted industry attention. The administrator of Terraform Labs has filed a $4 billion claim against Jump Trading and its executives William Disomma and Kanav Kariya.

The focus of this case points back to the market storm of 2022—the collapse of Terraform Labs. The plaintiffs’ allegations are quite straightforward: Jump Trading profited billions of dollars from it. In other words, this was not just a market downturn, but involved complex trading behaviors and potential market manipulation issues.

For those who follow the history of the crypto market, the fall of Terraform Labs is a landmark event. This lawsuit directly links this tragedy to Jump Trading, a well-known trading firm, sparking a new wave of reflection on trading behavior supervision and risk management.

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MetaMaskVictim

· 12-20 03:01

Jump these guys are really ruthless. They practically killed TL back then and made a profit, and now they're finally being sued. --- 4 billion? It doesn't seem enough to cover their compensation. Luna's investors all cried. --- It's Jump again, and manipulation too. These institutions really have nothing to lose. --- I just want to know how much can be recovered in the end... It seems likely that it will end in a settlement. --- When TL collapsed, everyone knew what Jump was doing. This lawsuit is really overdue. --- If they win this round, do other victims also have hope? --- Wait, this happened in 2022 and they're only suing now? The process is way too slow.

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ContractSurrender

· 12-19 03:29

Jump Trading really deserves to be called out. These people are just counting on retail investors being helpless. When TFL collapsed, I already felt something was off. Now finally someone dares to take real action. 4 billion, how many dark secrets need to be uncovered to cover that? Both market makers and exchanges—these institutions should have been regulated long ago. The Luna incident is far from over. Only now are they being held accountable? Isn't it a bit late? I will never forget the name Jump. It's a classic vampire model. Retail investors lost everything back then, and these guys were secretly celebrating... Truly outrageous. 4 billion still feels like a bargain for them. These trading institutions have done some really heinous things.

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AirdropHunterWang

· 12-19 03:24

40 billion lawsuit? Jump Trading's move is brilliant, profiting billions by crashing the market and harvesting retail investors --- If that Terra incident was really orchestrated by Jump, it's just too outrageous. That account needs to be properly calculated --- Wait, is this offending Jump? This lawsuit might be hopeless haha --- The 2022 crash is still under investigation, the crypto circle's amnesia really can't be cured --- If Jump Trading truly profits billions from this, isn't that just legal harvesting of retail investors? --- No wonder Jump's operations looked so flashy back then, turns out they were just harvesting --- 40 billion... this compensation amount sounds intimidating, but whether you can actually get that much is another story --- If this lawsuit wins, it will serve as a warning to the entire exchange ecosystem --- Jump, such a powerful quantitative institution, is under scrutiny. The crypto world is about to change --- The fall of Terra is still being debated, it's truly incredible

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GetRichLeek

· 12-19 03:18

I think this is ridiculous. Jump should have been investigated a long time ago, right? I also got caught up in it that year, and now it seems like the market maker is dumping the market.

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MetaMaximalist

· 12-19 03:10

lol jump trading profiting off terra's collapse? not exactly a hot take tbh... that's literally how market mechanics work when you actually understand network effects and adoption curves. but sure, let's pretend every institutional move is some grand conspiracy instead of recognizing superior capital allocation strategies when we see them

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