{"id":186522,"date":"2023-11-03T12:39:49","date_gmt":"2023-11-03T07:09:49","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=186522"},"modified":"2023-11-03T12:39:49","modified_gmt":"2023-11-03T07:09:49","slug":"sec-seeks-summary-judgment-in-do-kwon-and-terraform-labs-case-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/sec-seeks-summary-judgment-in-do-kwon-and-terraform-labs-case-crypto-news\/","title":{"rendered":"SEC seeks summary judgment in Do Kwon and Terraform Labs case – Crypto News"},"content":{"rendered":"

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The United States Securities and Exchange Commission (SEC) has refuted the jury\u2019s conclusion regarding Terraform Labs\u2019 alleged violations and has demanded a summary judgment on all the claims.\u00a0<\/p>\n

A court filing<\/a> from Oct. 27 showed the SEC\u2019s reluctance to accept the jury\u2019s leniency on Do Kwon<\/a> and his involvement in facilitating the frauds that eventually led to the collapse of Terraform Labs. The filing, directed to the U.S. district court – Southern District of New York, read:<\/p>\n

\u201cNo rational jury could conclude that Kwon was not liable for Terraform\u2019s violations of\u00a0Exchange Act Section 10(b) and Rule 10b-5 thereunder pursuant to Exchange Act Section 20(a).\u201d<\/p><\/blockquote>\n

The \u201cevidence\u201d of violations provided by the SEC points to Kwon\u2019s involvement in misleading crypto investors by creating and marketing Terra and its in-house Terra (LUNA<\/a>) tokens as securities. <\/p>\n

SEC seeks summary judgment in Do Kwon and Terraform Labs case in NY district court. Source:\u00a0courtlistener.com<\/em><\/figcaption><\/figure>\n

On the same day, Do Kwon and Terraform Labs asked the judge to toss SEC\u2019s lawsuit<\/a> \u2014 arguing that Terra Classic (LUNC), TerraClassicUSD (USTC), Mirror Protocol (MIR) and its mirrored assets (mAssets) are not securities as the SEC alleged.<\/p>\n

However, the SEC maintains that Kwon and Terraform Labs offered and sold securities, sold LUNA and MIR in unregistered transactions, engaged in transactions involving mAssets and committed fraud.<\/p>\n

Related: <\/em><\/strong>Terraform co-founder Shin blames protocol for collapse during trial in S. Korea<\/em><\/strong><\/a><\/p>\n

While Terra co-founder Daniel Shin\u2019s lawyer blamed the \u201cunreasonable operation of the Anchor Protocol and external attacks carried out by Do-hyung Kwon\u201d for the Terra ecosystem collapse, the company recently blamed market maker Citadel Securities for its role in an alleged \u201cconcerted, intentional effort\u201d to cause the depeg of its TerraUSD (UST) stablecoin in 2022.<\/p>\n

Screenshot from filing from Terraform compelling Citadel to provide additional documents. Source: CourtListener<\/em><\/figcaption><\/figure>\n

Citadel Securities told Cointelegraph in a statement: \u201cThis frivolous motion is based on false social media posts and ignores information we already provided confirming we had no role whatsoever in this matter.\u201d<\/p>\n

Magazine: <\/em><\/strong>Slumdog billionaire 2: \u2018Top 10\u2026 brings no satisfaction\u2019 says Polygon\u2019s Sandeep Nailwal<\/em><\/strong><\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The United States Securities and Exchange Commission (SEC) has refuted the jury\u2019s conclusion regarding Terraform Labs\u2019 alleged violations and has demanded a summary judgment on all the claims.\u00a0 A court filing from Oct. 27 showed the SEC\u2019s reluctance to accept the jury\u2019s leniency on Do Kwon and his involvement in facilitating the frauds that eventually […]<\/p>\n","protected":false},"author":2,"featured_media":186523,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-186522","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/186522","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=186522"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/186522\/revisions"}],"predecessor-version":[{"id":186528,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/186522\/revisions\/186528"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/186523"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=186522"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=186522"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=186522"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}