SEC Gains Authority to Probe Terraform Labs' Collapse

Co-founder Do Kwon Arrested Amid Ongoing Investigation

A U.S. District Judge has authorized the SEC to collaborate with international authorities in investigating Terraform Labs' collapse. Co-founders Do Kwon and Daniel Shin had raised over $200 million before their native tokens LUNA and UST plummeted in value, resulting in billions in losses. Kwon was recently arrested in Montenegro. The SEC accuses the company of misleading investors and transferring $250 million in Bitcoin to a Swiss account. Despite new leadership and ongoing investigations, the company's website has also been hacked.