Terraform Labs, the Do Kwon-led startup behind the collapsed LUNA cryptocurrency and TerraUSD (UST) stablecoin, has agreed in principle to a settlement with the U.S. Securities and Exchange Commission (SEC) over fraud charges.
News of the tentative agreement was first reported in . Reuters. The court listing for the case states that all parties have notified the court of an agreement in principle and that the deadline for submissions on the matter is June 12.
Kwon and Terraform Labs were found guilty by a jury of civil fraud in April and declared liable for defrauding investors about the coin. The settlement will likely determine how much Kwon and the company agree to pay after the April ruling and could also relate to Kwon’s future participation in Terraform.
Editor’s note: This story is breaking news and will be updated with additional details.
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