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<ul class="wp-block-list news-points"> 
 <li>Terraform Labs and Do Kwon settle a $4.5B SEC lawsuit over Terra’s 2022 collapse.</li> 
 <li>Investors claim $57M lawsuit against Terraform Labs and Do Kwon in Singapore.</li> 
 <li>Terraform Labs plans to sell four firms to meet $4.5B settlement obligations.</li> 
</ul> 
Terraform Labs founder Do Kwon is facing a growing <a href="https://coinedition.com/do-kwon-faces-57-million-fraud-lawsuit-by-terrausd-investors/">legal maelstrom</a>; a $57 million lawsuit filed by Singaporean investors in October 2022 just the latest blow, adding to Kwon’s woes that include an Interpol Red Notice for skipping court appearances. 
The lawsuit represents 350 investors burned by the spectacular collapse of TerraUSD, a stablecoin meant to hold a steady $1 value, and its sister currency, Terra LUNA. The May 2022 crash vaporized an estimated $40 billion from the market, crashing the crypto industry. 
Many of these investors had entrusted their holdings to Anchor Protocol, a platform that lured them in with the promise of 20% annual returns. The lawsuit alleges that Anchor misrepresented TerraUSD as a safe, principal-protected investment, further fueling investor outrage. 
Terraform Labs and Kwon denied any wrongdoing, maintaining their belief in the potential of TerraUSD. Kwon claimed he, too, lost money in t…
The post <a href="https://coinedition.com/sec-vs-terra-the-biggest-crypto-settlement-in-history/">SEC vs. Terra: The Biggest Crypto Settlement in History?</a> appeared first on <a href="https://coinedition.com">Coin Edition</a>.

SEC vs. Terra: The Biggest Crypto Settlement in History?

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