Terraform Labs' Historic $4.5B Settlement With SEC Makes 2024 The Most Penalized Year For Crypto Firms, Fines Surge More Than 3,000% Over Last Year
Portfolio Pulse from Aniket Verma
The SEC has imposed record fines on cryptocurrency firms in 2024, with a significant $4.47 billion fine against Terraform Labs. This marks a 3,018% increase in fines from the previous year, highlighting the SEC's focus on large companies and high-profile cases.
September 11, 2024 | 9:05 am
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Terraform Labs was fined $4.47 billion by the SEC for defrauding investors during the Terra (LUNA) collapse, marking the largest enforcement action in the crypto sector.
The massive fine against Terraform Labs is a direct consequence of its involvement in the Terra (LUNA) collapse, which had significant negative impacts on investors. This enforcement action is likely to further depress the value of LUNAUSD in the short term.
CONFIDENCE 100
IMPORTANCE 100
RELEVANCE 100
NEGATIVE IMPACT
Ripple Labs was fined $125 million by the SEC for violating securities laws, a penalty much lower than the SEC's initial request.
Ripple Labs' fine, although lower than expected, still represents a significant regulatory action. This could negatively impact XRPUSD as it reflects ongoing legal challenges.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 50