According to Wu, lawyers for Terraform Labs and its co-founder Do Kwon said that after being found guilty of fraud, a civil penalty of close to $1 million is more appropriate, rather than the $5.3 billion proposed by the SEC, and the court should not grant any injunctive relief or confiscation. Previously, the SEC stated that Do Kwon and Terraform should pay $4.7 billion in illegal gains and prejudgment interest, as well as civil penalties of $420 million and $100 million for Terraform and Kwon, respectively.