According to Foresight News, US District Judge Jed Rakoff of the Southern District of New York has ruled that Do Kwon and Terraform Labs sold four crypto tokens that met the criteria for unregistered securities: UST, LUNA, wLUNA, and MIR. In addition, Judge Rakoff provided a detailed explanation of the evidence provided by the US Securities and Exchange Commission (SEC), which showed that the Chai payment platform was used for promotional purposes but never operated on the Terra blockchain. Instead, it used traditional methods to settle payments, which were then 'mirrored' onto the Terra blockchain by servers controlled by Do Kwon.