Sign Up on MEXCJust In: Terraform Labs and Do Kwon Seek Summary Judgement in SEC Battle
Lawyers representing Terraform Labs and its co-founder, Do Kwon, have recently approached a New York judge with a bold request. They’re seeking a summary judgment, aiming to bring the ongoing legal battle with the Securities and Exchange Commission (SEC) to a swift conclusion. This move could prevent the case from progressing to a full-blown trial.
Unraveling the SEC’s Claims
In February, the SEC launched a legal offensive against Kwon and Terraform Labs. The regulatory body accused the company of raising billions from investors through the “offering and selling of an interconnected suite of crypto asset securities,” many of which were allegedly unregistered transactions. Central to the SEC’s argument was the infamous algorithmic stablecoin, Terra USD, which experienced a catastrophic collapse in May 2022.
In their quest for a summary judgment, Terraform Labs and Kwon’s legal team have boldly stated that the SEC has fallen short in its mission to prove any wrongdoing.
“After two years of investigation, numerous depositions, and the exchange of millions of pages of documents and data, the SEC is no closer to proving that the Defendants did anything wrong,” the lawyers emphasized.
Moreover, they firmly rejected the SEC’s claims surrounding transferring 10,000 Bitcoin into Swiss bank accounts for personal gain. Significantly, drawing a comparison, the lawyers highlighted that the SEC attempts to create parallels between this case and other high-profile cases involving customer fund thefts, a narrative they vehemently deny.
Looking Forward
Despite these strong assertions, Judge Jed Rakoff, who is at the helm of this case in the Southern District of New York, has previously denied Terraform Labs and Kwon’s motion to dismiss the case. Hence, the stage is set for a continued legal showdown.
Meanwhile, in a Seoul district court, lawyers for Terraform Labs co-founder Daniel Shin are asserting his innocence concerning the Terra USD collapse. In April, Shin faced an indictment on several charges, including fraud. With the legal drama unfolding on multiple fronts, all eyes are now on how these complex cases will unravel in the coming days.
Read Also: Is Terra Co-Founder Do Kwon Coming To US? SEC Files Motion In Court
- Donald Trump Petitions Supreme Court To Remove Fed Governor Lisa Cook
- Pi Coin Rises As Pi Network Implements Protocol v23 on Testnet
- Tether-Backed Plasma Stablecoin Blockchain Set to Launch on September 25
- Cathie Wood’s Ark Invest Backs Nasdaq-Listed Solmate To Launch $300M Solana Treasury
- REX-Osprey Spot Dogecoin and XRP ETFs Launch With Record Trading Volume
- Cardano Price Stays Above Ichimoku Cloud as Grayscale ADA ETF Approval Nears
- HBAR Price Prediction as SEC Approves Generic ETF Framework – Analyst Targets $1.80
- Toshi Coin Gains 57% in One Day: What’s Driving the Sudden Upside?
- Shiba Inu Price Set to Soar as Exchange Reserves Dive Amid SHIB ETF Chatter
- Pepe Coin Price Prediction as Whale Moves $25M From Robinhood- Is a Breakout to $0.00002 Next?
- XRP Price Prediction as Market Longs Hit 78% amid VivoPower Treasury Expansion Launch — Is $4 Next?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
