Terraform Labs, a company based in Singapore, and its founder, Do Kwon, have reportedly reached an initial agreement with the U.S. Securities and Exchange Commission (SEC) following accusations of deceiving cryptocurrency investors prior to the collapse of terrausd (UST), the project’s now-defunct algorithmic stablecoin in 2022. The terms of the settlement have not been disclosed yet and there is a possibility that the agreement may not be finalized. Earlier, a jury had found Kwon and Terraform Labs responsible for civil fraud, with allegations including making false statements regarding the stability of terrausd (UST) and its integration with a Korean mobile payment app called Chai.
