Jump Trading LLC is a

proprietary trading Proprietary trading (also known as prop trading) occurs when a trader trades stocks, bonds, currencies, commodities, their derivatives, or other financial instruments with the firm's own money (instead of using customer funds) to make a profit ...

firm with a focus on algorithmic and

high-frequency trading High-frequency trading (HFT) is a type of algorithmic trading in finance characterized by high speeds, high turnover rates, and high order-to-trade ratios that leverages high-frequency financial data and electronic trading tools.Lin, Tom C. W. " ...

strategies. The firm has over 1500 employees in Chicago, New York, Austin, London, Tel Aviv, Singapore, Shanghai, Bristol, Gurgaon, Gandhinagar, Sydney, Amsterdam, Hong Kong, and Paris and is active in

futures Futures may mean: Finance *Futures contract, a tradable financial derivatives contract *Futures exchange, a financial market where futures contracts are traded *''Modern Trader'', formerly Futures, an American finance magazine Music * ''Futures' ...

, options,

cryptocurrency A cryptocurrency (colloquially crypto) is a digital currency designed to work through a computer network that is not reliant on any central authority, such as a government or bank, to uphold or maintain it. Individual coin ownership record ...

, and

equities Stocks (also capital stock, or sometimes interchangeably, shares) consist of all the shares by which ownership of a corporation or company is divided. A single share of the stock means fractional ownership of the corporation in proportion t ...

markets worldwide. The company is a member of the Principal Traders Group, an advisory group formed by the

Futures Industry Association The Futures Industry Association (FIA) is a prominent global trade organization that represents the interests of the futures, options, and derivatives markets, including futures commission merchants A commodity broker is a firm or an individua ...

(FIA) to represent principal traders (i.e. independent

firms that trade only on their own accounts). Jump has been privately funded throughout its existence.

History

Jump Trading was founded in 1999 by two former pit traders, Paul Gurinas and Bill Disomma, who met in the Deutsche Mark pit at the

Chicago Mercantile Exchange The Chicago Mercantile Exchange (CME) (often called "the Chicago Merc", or "the Merc") is an American derivatives marketplace based in Chicago and located at 20 S. Wacker Drive. The CME was founded in 1898 as the Chicago Butter and Egg Board ...

(CME). While the firm got its start in the open outcry pits, Jump Trading does nearly all of its trading electronically. The company has made substantial investments in high-frequency trading and infrastructure, including a Belgian microwave tower once owned by NATO, purchased in 2013 by a U.K. affiliate. Following the 2010 flash crash, Disomma, Gurinas, and COO Matt Schrecengost met with CFTC chairman

Gary Gensler Gary Scott Gensler (born October 18, 1957) is an American former government official and former investment banker who served as the chair of the U.S. Securities and Exchange Commission (SEC) from 2021 to 2025. Gensler previously worked for Goldm ...

to discuss the definition of spoofing as a disruptive trade practice as well as transparency and access to SEFs. This meeting contributed to regulatory efforts to implement new market rules stemming from the Dodd–Frank Act. In April 2014, Jump was one of six high-speed trading firms subpoenaed by New York Attorney General Eric Schneiderman regarding their trading strategies, as well as the special arrangements they may have with exchanges and

dark pool In finance, a dark pool (also black pool) is a private forum ( alternative trading system or ATS) for trading securities, derivatives, and other financial instruments.U.S. Securities and Exchange Commission The United States Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street crash of 1929. Its primary purpose is to enforce laws against market m ...

(SEC) due to a malfunction in one of its trading algorithms leading to the accidental accumulation of a short position worth hundreds of millions of dollars. Gurinas and DiSomma also founded a venture capital firm, Jump Capital, in June 2012. By January 2016, the firm had invested in 30 companies. Jump Capital also invested $5 million in The Small Exchange in May 2019, a start-up retail trading futures exchange. Jump Trading is a registered

broker-dealer In financial services, a broker-dealer is a natural person, company or other organization that engages in the business of trading securities for its own account or on behalf of its customers. Broker-dealers are at the heart of the securities and ...

and member of multiple exchanges including the

CME Group CME Group Inc. is an American financial services company based in Chicago that operates financial derivatives exchanges including the Chicago Mercantile Exchange, Chicago Board of Trade, New York Mercantile Exchange, and the Commodity Exchange. ...

and the

New York Stock Exchange The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District, Manhattan, Financial District of Lower Manhattan in New York City. It is the List of stock exchanges, largest stock excha ...

. They are also members of most European exchanges including

Eurex Eurex Exchange is a German derivatives exchange which primarily offers trading in European based derivatives. The products traded on this exchange vary from German and Swiss debt instruments to European stocks and various stock indexes. All tran ...

and the

London Stock Exchange The London Stock Exchange (LSE) is a stock exchange based in London, England. the total market value of all companies trading on the LSE stood at US$3.42 trillion. Its current premises are situated in Paternoster Square close to St Paul's Cath ...

. In September 2021, Jump announced their

business through a new brand named Jump Crypto.

Lawsuit

On May 9, 2023, a class action suit was filed against Jump Trading and the President of Jump Crypto, Forbes 30 under 30 alumni Kanav Kariya, for violations of the Commodity Exchange Act, CFTC Regulations, and unjust enrichment. The lawsuit alleges Jump Trading participated in market manipulation of the stable coin UST and aided and abetted Do Kwon, alleging, "Jump had made over $1.28 billion in profits from selling the LUNA tokens it received at a steep discount in exchange for artificially propping up the price of UST and aUST." The lawsuit alleges Jump Trading used their acquisition of the wormhole bridge and investment in the Solana blockchain to artificially compel growth, as UST was one of limited stable coins offered in this ecosystem. On December 20, 2024, Jump Trading's subsidiary, Tai Mo Shan, agreed to pay $123 million to the

U.S. Securities and Exchange Commission The United States Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street crash of 1929. Its primary purpose is to enforce laws against market m ...

(SEC) to settle allegations of misleading investors about the stability of UST.

Philanthropy

In 2013, Jump Trading donated $25 million to fund the creation of the OSF HealthCare Jump Trading Simulation and Education Center. In February 2014, Jump Trading donated an additional $25 million to fund a joint medical research project between OSF HealthCare and the University of Illinois at Urbana-Champaign's College of Engineering. In a statement from the institutions, the donation will support doctors and engineers working together on clinical simulation, education and health care issues striving to "improve the quality of care and outcomes for patients" and "reduce health care costs".

References

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External links

Jump Trading WebsiteProp Firm Discount Codes
Companies based in Chicago Financial services companies based in Illinois Financial services companies established in 1999 American companies established in 1999 1999 establishments in Illinois