Jump Trading Group has broken up with Wormhole, a crypto project belonging to its crypto investing arm, as it continues to pull back from the volatile digital-assets market, Bloomberg reported Friday.
Several high-ranking Wormhole employees, including the project's CEO and COO, have left Jump to "run Wormhole as an independent entity," the publication reported, citing people familiar with the matter. The parting of ways comes less than two years after Jump poured $320 million into Wormhole after the inter-blockchain messaging platform suffered a massive hack.
It remains unclear whether Jump Trading ordered the spinoff or not. The number of employees who departed the trading firm due to the separation also remains unclear.
A Jump spokesperson declined CoinDesk's request for comment.
Wormhole's spinoff is the latest business breakup to kneecap Jump's shrinking crypto division. In early July, Jump and Robinhood ended their business partnership, a CoinDesk report revealed.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish, a cryptocurrency exchange, which in turn is owned by Block.one, a firm with interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets including bitcoin and EOS. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.