1. **Federal Judge's Ruling**: U.S. District Judge Jed Rakoff ruled in favor of the Securities and Exchange Commission (SEC) against Terraform Labs and its former CEO, Do Kwon.

2. **Violation of U.S. Law**: Terraform Labs was found to have violated U.S. law by failing to register two digital currencies, LUNA and MIR, which collapsed in 2022.

3. **Unregistered Securities Allegation**: The SEC alleged that Terraform Labs and Kwon offered and sold unregistered securities, including LUNA, UST, and MIR.

4. **Summary Judgment Granted**: The court granted summary judgment favoring the SEC, citing the failure to register the mentioned digital currencies.

5. **Trial Date Set**: Although summary judgment was denied on fraud claims, a trial is scheduled for January 29, 2024, to address the SEC's fraud allegations against Terraform and Kwon.

6. **Disagreement with Decision**: Terraform Labs strongly disagreed with the ruling, asserting that their tokens were not securities and vowed to continue defending against what they labeled as "meritless" fraud claims by the SEC.

7. **Tokens Deemed Securities**: Judge Rakoff's ruling categorized UST, LUNA, wLUNA, and MIR as securities under the Howey test.

8. **Focus of Upcoming Trial**: The trial will center on the SEC's fraud allegations against Terraform and Kwon, stemming from February filings.

9. **UST Collapse and Legal Consequences**: The lawsuit originated from the collapse of UST, an algorithmic stablecoin, causing substantial value loss and impacting the cryptocurrency market.

10. **Criminal Charges and Legal Issues for Kwon**: Do Kwon faces additional legal challenges, including criminal charges from the Department of Justice, involving eight counts of fraud and an arrest in Montenegro after fleeing charges in South Korea.

#UST #LUNA

Unveiling Jump Crypto's Dubious Dealings: A Deep Dive into the SEC Vs Terra Saga

The cryptocurrency realm is no stranger to controversy, and the SEC's ongoing investigation into Terraform Labs and its algorithmic stablecoin, TerraUSD (UST), has once again brought the industry under intense scrutiny. At the heart of this saga lies Jump Crypto, a prominent crypto trading firm that allegedly played a significant role in UST's demise.

The Unraveling of UST and the SEC's Intervention

In May 2022, UST's peg to the US dollar began to falter, triggering a chain of events that would ultimately lead to the collapse of the entire Terra ecosystem. As UST's price plummeted, investors rushed to exit their positions, creating a liquidity crisis that Jump Crypto was unable to contain.

The SEC, concerned about the potential for fraud and market manipulation, launched an investigation into Terraform Labs and its associates. In its complaint, the SEC alleged that Jump Crypto's involvement with UST was not merely a passive investment but an active effort to manipulate the market for its own financial gain.

Jump Crypto's Role in Terraform Labs' Downfall

The SEC's allegations paint a damning picture of Jump Crypto's role in UST's downfall. The complaint suggests that Jump Crypto was aware of the risks associated with UST's stability mechanism and yet continued to provide liquidity support, potentially exacerbating the crisis.

Moreover, the SEC alleges that Jump Crypto profited from UST's collapse by purchasing LUNA tokens at a discounted price while simultaneously selling them on the open market. This suggests that Jump Crypto may have prioritized its own financial interests over the stability of the broader cryptocurrency market.

The SEC's investigation into Terraform Labs and Jump Crypto is still ongoing, and it remains to be seen whether the allegations will result in any charges. However, the case has already sent shockwaves through the cryptocurrency industry, raising concerns about the potential for manipulation and fraud in the digital asset space.

#SECvsCrypto
#UST

Sources close to the matter claimed that the US Department of Justice was investigating the collapse of TerraUSD last year.

#TERRA #LUNA #UST #LUNC

TopCryptoNews

Following

11:09 PM Dec 26, 2023

Exciting News: SWGT TokenPrivate Sale Now Live at$0.13 USDT with LimitedOffer!

In the ever-evolving landscape ofcryptocurrencies, SmartWorld Global

Token (SWGT) emerges not merely as adigital asset but as a beacon illuminatingthe path to a future where blockchainredefines life and work. As the SWGTToken Private Sale commences at anexclusive rate of $0.13 USDT per token, weunravel the expansive canvas of itsversatile use cases and the transformativeimpact it aims to bring to the cryptosphere.

#SWGT #UST #Skyway

🚨 Terraform Labs' proxy lawyer opposes SEC's $5.3 billion demand!
📝 Terraform's legal team suggests a maximum civil penalty of $1 million, arguing against injunctive relief or recoupment. They highlight the need to obtain funds from the Luna Foundation Guard (LFG), a 'non-party' in the case.
💼 On April 5, a New York jury suspected Terraform and Do Kwon of deceiving investors in TerraUSD (UST), Luna, and wLUNA sale statements. The SEC demands recovery of $5.3 billion in illegal proceeds and civil penalties, proposing a ban on Do Kwon's executive roles and detailed account disclosures.
#Terraform #SEC #UST

🚨 Terraform Labs' proxy lawyer opposes SEC's $5.3 billion demand!

📝 Terraform's legal team suggests a maximum civil penalty of $1 million, arguing against injunctive relief or recoupment. They highlight the need to obtain funds from the Luna Foundation Guard (LFG), a 'non-party' in the case.

💼 On April 5, a New York jury suspected Terraform and Do Kwon of deceiving investors in TerraUSD (UST), Luna, and wLUNA sale statements. The SEC demands recovery of $5.3 billion in illegal proceeds and civil penalties, proposing a ban on Do Kwon's executive roles and detailed account disclosures.

#Terraform #SEC #UST

Ethena (.#ENA ) consists of two main parts:
✨ USDe: This is a synthetic dollar protocol built on the #Ethereum✅ blockchain. A synthetic asset aims to track the price of another asset, in this case the US dollar. Unlike traditional stablecoins that are backed by real dollars held in reserve, USDe uses complex financial engineering to maintain its peg to the dollar.
✨ ENA Token: This is the native token of the Ethena project. ENA token holders have governance rights, meaning they can vote on decisions that affect the USDe protocol. For example, they might vote on how USDe maintains its peg to the dollar.

Is USDe similar to #UST from TerraLabs?
Yes, USDe from ENALabs is similar to UST from TerraLabs in that both are algorithmic stablecoins. This means they are not backed by a reserve of US dollars in cash, but rather use an algorithm to keep their price pegged to the dollar.

🥺 Interested in hearing my thoughts on this? You know what to do, stay tuned!!! 🚀

I said it yesterday and I'll say it again ***
*I know today a lot of people are going to lose money
*I know people will buy AEVO for a high amount
I know when AEVO launches it will be overrated.
*I did my own research, this coin was launched on other trading platforms such as XT.COM official website and AEVO with a very high price, so *avoid buying it immediately
* be careful in the end, you don't want losses

🫂Remember: Your generous advice would strengthen our mission and help us work even harder so that you can give the best investment advice.

#HotTrends #HalvingHorizons #UST

BTC update
note 🗣️🗣️ bullish the BTC 👛🪙
and buy BTC
#HotTrends #ETH #BTC #UST #JUP

📣📣…Today’s review…📣📣

⚠️⚠️⚠️⚠️⚠️⚠️⚠️⚠️

5/10:

🔥🔥🔥💪💪💪…
#UST Yesterday afternoon, UsT’s deduction reached the second/third support level at 4.6 points, and then turned to long after a small wave of short orders. 🚨🚨🚨🔥🔥🔥Find the author Cfst888

💪💪💪Pay special attention: near the position of 0.02231. If this position can be successfully pulled back, then there will be many orders. Pressure level: near the two positions of 0.02258-0.02277.
Please follow me, please look at the comments to find my assistant, join us and we will provide free live broadcast guidance every week to help you better master relevant knowledge and skills. #USTC.每日智能策略 #UST #USTC.智能策略库 #ust

⚡The co-founder of #Terraform Labs, #DoKwon seems to have been arrested in Montenegro

The co-founder and CEO of Singapore-based #TerraformLabs , has been arrested in Montenegro, according to a tweet by the country's minister of interior. #crypto2023 #UST

#FDUSD casually depegging
giving #LUNA #UST vibes

🚨BREAKING: #Terra founder Do Kwon reportedly arrested in Montenegro 🇲🇪

#LUNA #LUNC #UST #cryptonews
#Dokwon

#Terraform Labs Fights Back: $5.3 Billion SEC Fine Faces $1 Million Counterpunch

Terraform Labs (#TFL ) is throwing punches back at the SEC's hefty $5.3 billion fine for Do Kwon's alleged fraud with #TerraUSD (#UST ). Their lawyers argue the penalty should be slashed to just $1 million, a 99% reduction.

The crux of their defense? The Luna Foundation Guard (LFG), not TFL, held the funds from the UST sales. TFL's lawyers claim the SEC should have pursued LFG directly for disgorgement (returning those funds).

This counters the SEC's demands for $4.7 billion in disgorgement and prejudgment interest, plus $520 million in civil penalties.

This legal battle adds another layer to the Terraform Labs saga. The company and Do Kwon were found guilty by a jury in April, leading to his current extradition fight in Montenegro.

The ripple effects of Terraform Labs' collapse in 2022 are still felt, with companies like BlockFi, Celcius, and #FTX all facing bankruptcy.

Will TFL's legal counteroffensive land? Only time will tell, but this fight is far from over.

##UST 📣📣UST Market Report📣📣

Dear investors, here is a quick overview of UST:

UST currently has a long position advantage at the 1-hour level, showing the market's bullish sentiment.

However, in the longer 2-4 hour level, UST is in a sideways fluctuation state, indicating that the market's long and short forces are relatively balanced. 🚨🚨🚨 Find the author Cfst888

Key price analysis:

Please pay special attention to the 2-hour long and short price: 0.02136. As long as this price is not broken as a support level, we can still expect the 1-hour level to continue to be bullish.

The upper target price can be focused on: 0.02245, 0.02327 and 0.02421.

But the market is always full of variables. If UST cannot stand on the 1-hour pressure level, we need to be alert to the risk that the market may turn bearish. At this time, the support level below will be the focus of our attention, and we need to pay attention to the following three positions: 0.02062, 0.02030 and 0.01923.

Risk management reminder:

Friends! In the trading process, the importance of risk management is self-evident. We strongly recommend that all investors first ensure defense, reasonably arrange stop loss and take profit, and then seek profit opportunities.
Please follow me, please read the comments to find an assistant, join us to provide free live broadcast guidance every week to help you better master relevant knowledge and skills. #USTC.每日智能策略 #USTC.智能策略库 #ust #UST

The $LUNA system was well-designed but had a major flaw that occurred by chance. The system aimed to make LUNA deflationary during bear markets by burning LUNA when more #UST was bought.

This could have limited LUNA's losses to around -20%, making it a safer investment compared to other altcoins dropping -95%. Terra's ecosystem, built with the Cosmos SDK, had high-quality, user-friendly applications unlike many new blockchains focused on AirDrops. However, Terra lacked an effective decoupling mechanism.

If UST fell by 20%, a decoupling break and an insurance fund could have maintained UST's peg, limiting losses to LUNA.

#Bitcoin_Coneference_2024
#LUNAUpdate

🚀✨ **The Rise and Fall of Luna** 🌕

Luna was once a shining star in the crypto world, gaining massive popularity and a skyrocketing price. 🚀 It was the native token of the Terra blockchain, which aimed to revolutionize digital payments and stablecoins. 💸

But in May 2022, disaster struck. 🚨 Luna and its stablecoin, UST, faced a catastrophic collapse. UST, meant to be pegged to the dollar, lost its value, causing panic. 😱 The algorithmic link between Luna and UST couldn't handle the pressure, leading to a death spiral. ⏬ Luna's price plummeted from over $80 to fractions of a cent. 💔

The collapse wiped out billions of dollars in market value, leaving investors devastated and the crypto community in shock. 🌪️ It was a stark reminder of the risks in the volatile world of cryptocurrencies. ⚠️
$BTC $ETH $BNB
#Luna #Crypto #UST #CryptoCrash #Terra

The $LUNA system was very well designed, but it had a major flaw that the designer did not anticipate. There was a 1 in 50 chance that this scenario would occur, and unfortunately, it did.

The system worked as follows: the more #UST you bought, the more the equivalent in LUNA was burned, and vice versa. This means that even in a bear market, when people should seek refuge in UST, it would have made LUNA deflationary, thus mitigating its fall compared to the rest of the market. To illustrate this, if during a bear market the main altcoins experienced a drop of -95%, LUNA could have limited its loss to around -20%. This would have made LUNA less volatile and more attractive as a safe haven. Moreover, the Terra ecosystem featured high-quality applications, interoperable thanks to the Cosmos SDK (a development kit providing tools to developers).

The applications in the Terra ecosystem were very well designed, unlike those on new blockchains where developers create applications solely to obtain AirDrops. For instance, on blockchains like #SUI🔥 , #Aptos , or $SEI , the user experience of the applications is often poor. In contrast, applications on blockchains from the previous cycle, such as Solana, Avalanche, Fantom, Terra, and Cosmos, share more coherent and intuitive graphic and functional philosophies.

What Terra lacked to function properly was an effective decoupling mechanism. For example, if UST fell by 20%, a decoupling break could have been triggered, accompanied by an insurance fund to restore UST's peg. Thus, even if LUNA dropped to zero, UST would have remained dollar-backed, and users' losses would have been limited to LUNA, with minimal impact since other altcoins suffered drops of -99%.
#Bitcoin_Coneference_2024
#LUNAUpdate

If Bitcoin breaches the support level of 60,000 💥, we might witness Bitcoin at 50-52k support 📉. If Bitcoin surpasses the 60,000 support and the candle closes above 65k 📈, then Bitcoin's next move could be above 74,000 💰. #BTC🚀🚀 #HotTrends📈 @mmbtcholder📊
BTC #HotTrends #BTC #CryptoVision2030 #UST #ETH