Terraform Labs comes under SEC probe after UST meltdown - Bloomberg

Terraform Labs, the company behind algorithmic stablecoin TerraUST (UST-USD) and its sister token Luna (LUNA2-USD), is reportedly being investigated by the Securities and Exchange Commission on whether it breached federal investor protection rules, a person with knowledge on the matter told Bloomberg on Thursday. Last month, UST and LUNA ultimately collapsed after the stablecoin lost its peg to the U.S. dollar, wiping out tens of billions in value and putting the rest of the digital asset market on edge. The SEC probe focuses on whether Singapore-based Terraform violated rules for securities and investment products through its marketing of the coins, the person said, as reported by Bloomberg. Meanwhile, Terraform CEO Do Kwon said his company is "not aware of any SEC probes into TerraUSD at this time - we’ve received no such communication from the SEC and are aware of no new investigation outside of that involving Mirror Protocol,” which enables