Do Kwon, the founder of Terra (LUNA) and Terraform Labs (TFL), is reportedly suing the US Security and Exchange Commission (SEC), in response to a series of warrants that the SEC allegedly sent him.
The lawsuit that allegedly alarmed the SEC concerns DeFi’s Terra Mirror Protocol, which allows the issuance and interchange of synthetic shares that reflect the price of the underlying, publicly-traded major US companies.
Terra (LUNA) and the Do Kwon issue – SEC
This affair is just the latest in the “crypto vs SEC series”. In the crosshairs of the US agency, this time is Do Kwon, with a series of subpoenas issued since May 2021.
In practice, after the first SEC email sent to Do Kwon with the first subpoena on his Mirror Protocol investigation, the founder of Terra (LUNA) allegedly contested the request on the grounds that he was a resident of South Korea.
Since then, Do Kwon himself has sued the SEC, claiming that the two previous subpoenas were “improperly issued and served”.
Not only that, the LUNA founder also added that the SEC failed to maintain confidentiality about its investigation, so much so that the subpoenas were served in public. Here’s how he describes the public document:
“Mr. Kwon was approached by the process server as he exited an escalator at the Mainnet summit while on his way to make a scheduled presentation that was not about the Mirror Protocol”.
Speaking about this, in a video interview, the CEO of Messari Ryan Selkis said:
“We have invited Congressional staffers and regulators to this event, we paid for many of their passes, and they chose to hide by the escalators instead of learning what’s really going on in the industry”.
LUNA: the price and market cap
At the time of writing, Terra (LUNA) is in 11th position by market capitalization, with a total crypto market dominance of 0.67%.
LUNA’s price saw its ATH – All Time High during the first crypto rally of 2021, touching $47 last April. Today, LUNA is worth $43.
Compared to last month’s analysis, LUNA is on an impressive path that seems to be maintaining an upward trend in October as well, supported on the $39/40 level, compared to $32 in September.