Many jellyfish species are known to cause a painful sting, but box jellyfish (class Cubozoa) are a well-known danger to humans due to exceptionally potent venoms. Cubozoan toxicity has been attributed to the presence and abundance of cnidarian-specific poreforming toxins called jellyfish toxins (JFTs), which are highly hemolytic and cardiotoxic. However, JFTs have also been found in other cnidarians outside of Cubozoa, and no comprehensive analysis of their phylogenetic distribution has been conducted to date. Here, we present a thorough annotation of JFTs from 147 cnidarian transcriptomes and document 111 novel putative JFTs from over 20 species within Medusozoa. Phylogenetic analyses show that JFTs form two distinct clades, which we call JFT-1 and JFT-2. JFT-1 includes all known potent cubozoan toxins, as well as hydrozoan and scyphozoan representatives, some of which were derived from medically relevant species. JFT-2 contains primarily uncharacterized JFTs. Although our analyses detected broad purifying selection across JFTs, we found that a subset of cubozoan JFT-1 sequences are influenced by gene-wide episodic positive selection compared with homologous toxins from other taxonomic groups. This suggests that duplication followed by neofunctionalization or subfunctionalization as a potential mechanism for the highly potent venom in cubozoans. Additionally, published RNA-seq data from several medusozoan species indicate that JFTs are differentially expressed, spatially and temporally, between functionally distinct tissues. Overall, our findings suggest a complex evolutionary history of JFTs involving duplication and selection that may have led to functional diversification, including variability in toxin potency and specificity. Significance Medically relevant jellyfish, primarily cubozoans, are known to possess highly hemolytic and cardiotoxic pore-forming toxins called jellyfish toxins, but the diversity of these toxins and the extent of their distribution across Cnidaria is unclear. Our analyses of publicly available transcriptomes show that these toxins are widely distributed across the cnidarian subphylum Medusozoa, with rampant duplication followed by episodic gene-wide positive selection within the highly toxic Cubozoa. These findings provide a framework to better understand the evolutionary history of jellyfish toxins across Medusozoa, and specifically highlight how these widespread medusozoan toxins may have evolved to be particularly dominant and potent in cubozoan venoms.