Terra

The settlement would resolve a civil lawsuit filed by the Securities and Exchange Commission following Terraform’s collapse in 2022.

Terraform Labs has agreed to pay the United States Securities and Exchange Commission roughly $4.47 billion as part of its settlement with the securities regulator. The total remedies include disgorgement fines of roughly $3.6 billion, a civil penalty of $420 million and prejudgement interest of nearly $467 million. 

Do Kwon is liable for $110 million in disgorgement penalties and roughly $14.3 million in pre-judgment interest fines in accordance with the settlement plan.

The settlement was reached after a jury found Terraform Labs and its co-founder liable for the Terra ecosystem collapse, which erased $40 billion in investor assets.

Read more

Terraform Labs and CEO Do Kwon are finalizing a settlement with the SEC. Both parties are expected to submit the final terms for court approval by mid-June.

Terraform Labs and its CEO Do Kwon have agreed in principle to settle a fraud case with the U.S. Securities and Exchange Commission (SEC), according to court filings. 

The lawyers representing both parties disclosed a settlement in principle in a telephone conference held before Judge Jed S. Rakoff on May 29. The settlement terms are expected to be finalized and submitted for court approval by June 12, 2024.

Terraform and Kwon were found liable for defrauding investors in its civil case with the SEC in February. The parties were scheduled to discuss remedies in the case on May 29.

Read more