The lawsuit continues after the collapse of TerraUSD, which caused a huge drop in the crypto money industry last year.
The lawsuit continues after the arrest of Terraform Labs founder Do Kwon. Do Kwon was arrested in Montenegro in recent months.
Do Kwon’s Judgment Continues
Do Kwon’s lawyers SEC denied the fraud allegations. lawyers, SECof Terra TerraUSD He claimed that he failed to substantiate his claim that US investors were defrauded in connection with the $40 billion collapse of (UST) and Luna (LUNA). The SEC sued Kwon for allegedly defrauding US investors by illegally offering unregistered securities.
Do Kwon’s lawyers from the judge, SEC . They argued that US law prohibits regulators from “using federal securities law to provide jurisdiction over digital assets in this case.”
Also, lawyers claimed that the SEC failed to prove that Kwon defrauded US investors in connection with Terra’s $40 billion collapse of TerraUSD (UST) and Luna. According to lawyers, the stablecoin in question is a currency, not a security.
