SEC v. TerraForm (Luna)

The SEC sues Terraform Labs and its CEO for allegedly orchestrating a multibillion dollar securities fraud by offering and selling “an inter-connected suit of crypto asset securities, many in unregistered transactions” from April 2018 until the network’s collapse in May 2022.

Terraform agreed to a $4.47 billion settlement with the SEC after a Jury found the firm and founder liable for fraud. The closeness of the settlement to the SEC initial settlement offer of $5.3 Billion suggests that the Judge was unpersuaded by Terraform’s argument that extraterritorial sales should not be included in the disgorgement / penalties.

1:23-cv-01346