Terraform Labs Rejects Lawsuit Alleging Investor Fraud By US Law
Terraform Labs is attempting to have a class action against the firm dismissed on the basis that the mentioned US securities laws do not apply to its foreign-developed agreements. The same logic, according to Terraform, applies to the RICO (Racketeer Influenced and Corrupt Organization) charges in the complaint, which say that the corporation is aiming for profits at the cost of regular investors. This class action was launched in June 2022, alleging that the Terra tokens (UST and LUNA) were securities, among other things.
The plaintiff also failed to disclose the location of digital wallets storing his Terra tokens, which defeats any domestic harm claims. The Terra/Luna ecosystem imploded in May 2022, wiping away billions of dollars from cryptocurrency marketplaces. Following the crash, a slew of lawsuits have been filed against the company, associated entities such as the Luna Foundation Guard, and company founder Do Kwon. Not only in the United States but also in South Korea, prosecutors have charged Terraform Labs co-founder Daniel Shin and nine others with capital markets legislation violations, illicit trading, and breach of trust.
Source
https://t.me/Crypto_Futures_Trading
