US Court Orders Terraform Labs' Chief To Comply With SEC Subpoenas

A US court has ordered the chief executive of collapsed stablecoin operator Terraform Labs to comply with subpoenas from the regulator seeking documents and materials related to the sale of potential unregistered securities. From a report: The US court of appeals in New York on Wednesday upheld the claim from the Securities and Exchange Commission, which is seeking information on Mirror Protocol, a trading network built on the Terra ecosystem that offered customers tokens that closely mirrored the price of some of the US's largest listed companies such as Apple and Amazon. The regulator's victory marks a further blow to Terraform Labs' head Do Kwon, who is facing several legal cases in the wake of the sudden $40bn collapse of terraUSD, a stablecoin, and its accompanying token luna, which left investors out of pocket. The 30-year-old South Korean was the chief developer of terraUSD, whose collapse last month sent shockwaves through the crypto industry. Mirror Protocol was also developed by Kwon's Terraform Labs with the hope of bridging traditional finance with crypto.

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