Terraform Labs and Do Kwon Agreed with SEC: There is a Sudden Rise in LUNA Altcoins!

The US Securities and Exchange Commission (SEC) agreed in principle with Terra (LUNA) founder Do Kwon and Terraform.

Terraform Labs and founder Do Kwon have “reached an agreement in principle” with the SEC, according to recent court filings. The agreement in question was reached through an off-the-record teleconference on Wednesday, May 29.

In parallel with this agreement, a previously scheduled hearing was canceled by the court. The court noted that the parties must submit documents supporting a proposed final judgment consistent with the settlement by June 12, 2024:

Parties must submit documentation supporting a proposed final judgment consistent with the settlement by 12/6/2024.

The SEC first charged Terraform Labs and Kwon in February 2023 over the algorithmic stablecoin UST, which crashed dramatically a year ago. UST collapsed in May 2022, causing a loss of more than $50 billion in value.

The regulator found Do Kwon guilty of fraud and demanded a fine of $5.3 billion. However, the Terraform front opposed this decision and stated that the penalty in question was an exaggeration.

With the influence of the news flow, the LUNC price rose by 16% in a short time, climbing up to $0.000131. LUNA, on the other hand, saw $0.825 with a sudden upward performance of 35%.