- SEC’s securities fraud trial for Do Kwon and Terraform Labs is expected to last two weeks.
- Opening statements from both sides took place on Monday, marking clear indications of how each side will present their evidence.
- Both LUNC and LUNA price are in recovery mode.
As broader markets awaken on Monday, Terra Classic (LUNC) and Terra Luna (LUNA) prices have not been left behind. The two altcoins, sprouting from the Terraform Labs ecosystem, are also showing some strength, coming on the same day as Terraform Labs executive Do Kwon’s trial with the US Securities & Exchange Commission (SEC) commences.
Also Read: LUNC price crash could extend 30% amid oncoming hearing between Terraform Labs and the SEC
SEC vs. Do Kwon trial
The SEC versus Do Kwon trial kicked off on Monday in a Manhattan federal court, but the accused did not appear and was represented by his defense team. Along with the opening statement, the March 25 gathering also marked jury selection.
Do Kwon is accused of the epic collapse of Terraform Labs’ TerraUSD “stablecoin” in May 2022, which set the wheel rolling for what culminated in a loss of over $40 billion across the market. Echoing the weight of the matter, Director of the SEC’s Division of Enforcement, Gurbir S. Grewal, detailed the fundamental flaws of the Terraform ecosystem, citing a lack of “decentralization and financial integrity.”
Further, Grewal underscored how the establishment was a breeding ground for fraud, describing it as a scheme supported by a purportedly algorithmic “stablecoin” despite its price being influenced by Do Kwon and the company as opposed to pre-existing code.
According to reports from CoinGecko News, that judge had also sought to know the whereabouts of the accused and was told of Do Kwon’s detention in Montenegro.
DO KWON PLACED IN "RECEPTION CENTER" IN MONTENEGRO AFTER PRISON RELEASE
— Mario Nawfal’s Roundtable (@RoundtableSpace) March 25, 2024
Kwon was reportedly interrogated by a local inspector for five hours before being moved to the camp. He is expected to remain guarded in the facility until the local court makes a new decision on his… pic.twitter.com/c921NzFrMl
Read why Do Kwon is still in Montenegro here: Do Kwon to be released on house arrest, extradition process halted as prosecutor cites ‘procedural errors’
Do Kwon 2.0 ✋#LUNC #LUNA pic.twitter.com/hCzAR2d152
— Terra Haber Portalı (@TerraHaberTr) March 23, 2024
Meanwhile, both LUNC and LUNA prices are in recovery mode. Terra Classic price is up 3%, while Terra Luna price is up around 2%. Both altcoins are still in the woods, however, as the trial is only beginning. With the trial expected to last two weeks, community members should brace for volatility.
LUNC/USDT 1-day chart, LUNA/USDT 1-day chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Chainlink social dominance hits six-month peak as LINK extends gains
-637336005550289133_XtraSmall.jpg)
Chainlink social dominance surged to a six-month peak on Friday as LINK holders increased their activity. LINK traders started taking profits, on-chain data trackers show. LINK price added 6% on Friday, extending its gains from mid-week.
Binance helps Taiwan crack a virtual asset money laundering case, BNB sustains above $570
Binance’s Financial Crimes Compliance (FCC) department joined forces with Taiwan’s Ministry of Justice and helped resolve a case of money laundering worth NT$200 million, or $6.2 million.
Bitcoin Weekly Forecast: Is BTC out of the woods? Premium
Bitcoin price shows signs of continuing its uptrend, providing a buying opportunity between $64,580 to $63,095. On-chain metrics forecast a bullish outlook for BTC ahead. If BTC clears $70,000, the chances of resuming the uptrend would skyrocket.
XRP trades steady at $0.50 as Ripple shares plan to expand services in Africa
Ripple hovers close to $0.51 on Friday, above the psychologically important $0.50 level, as traders await the court ruling of the lawsuit against the US Securities and Exchange Commission and amid new commitments from the firm to expand its services in Africa.
Bitcoin: Is BTC out of the woods? Premium
Bitcoin (BTC) price action in the past two days has confirmed the resumption of the bull run. However, BTC needs to clear a few key hurdles before investors can go all-in.