Terraform Labs, the Do Kwon-led startup behind the collapsed LUNA cryptocurrency and TerraUSD (UST) stablecoin, has agreed in principle to a settlement with the United States Securities and Exchange Commission (SEC) over fraud charges.
News of the tentative settlement was first reported by Reuters. The court listing for the case notes that all parties informed the court of an agreement in principle, with filings in the matter due by June 12.
Kwon and Terraform Labs were found guilty by a jury of civil fraud charges in April and declared liable for defrauding investors about the coins. The settlement would likely determine how much Kwon and the firm have agreed to pay following the April verdict, and could also pertain to Kwon’s future involvement with Terraform.
Editor’s note: This story is breaking and will be updated with additional details.
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Source: https://decrypt.co/233039/do-kwon-terraform-labs-settle-sec-luna-terrausd-fraud
