SEC seeks $5.3 billion fine against Terraform Labs and its co-founders

According to TechFlow, the U.S. Securities and Exchange Commission (SEC) called on a New York court to impose a $5.3 billion fine on Terraform Labs and its co-founder Do Kwon for their role in the 2022 Terra-Luna collapse.

The two parties are arguing over the amount of the civil penalty, with Terraform Labs arguing for the maximum penalty of $3.5 million and Kwon offering to pay $800,000.