Chris Amani, CEO of Terraform Labs, has announced the company's closure following a $4.47 billion settlement with the SEC. The firm plans to sell key projects in the Terra ecosystem and transfer control of the Terra blockchain to the community. The settlement includes a $3.58 billion disgorgement and a $420 million civil penalty. Amani, who took over in July 2023, confirmed the winding down of operations and burning of holdings. The community will propose burning remaining tokens and oversee governance of Terra and Terra Classic blockchains. This decision sparked mixed reactions, with some optimistic about community control while others criticized past leadership. The dissolution led to a 5% drop in LUNA and 2% in LUNC prices. The SEC settlement sets a regulatory precedent in crypto, emphasizing the importance of compliance and governance. Read more AI-generated news on: https://app.chaingpt.org/news
