SEC Seeks Summary Judgment Against Terraform Labs and Do Kwon

The post SEC Seeks Summary Judgment Against Terraform Labs and Do Kwon appeared first on Coinpedia Fintech News The SEC has requested summary judgment against Terraform Labs (TFL) and Do Kwon in their lawsuit alleging violations of securities and exchange laws. The SEC argues that TFL and Do Kwon created and marketed crypto assets such as LUNA and UST as securities, violating securities laws and defrauding investors of $45 billion. TFL and Do Kwon sold LUNA and MIR directly into public trading markets while misleading and deceiving investors about Chai and depegging events in 2021 and 2022. The SEC seeks summary judgment on all its claims, including that TFL and Do Kwon sold securities, investors in these Terra securities invested in a common enterprise, and defendants committed fraud. Terraform Labs and Do Kwon previously urged the court to dismiss the lawsuit, claiming that Terra Classic (LUNC), TerraClassicUSD (USTC), Mirror Protocol (MIR), and its mirrored assets (mAssets) are not securities, and there is no evidence to prove Bitcoin transferred to a Swiss bank for personal gains. However, the SEC’s request for summary judgment indicates that the agency believes it has sufficient evidence to support its claims.