Terra News

The implementation comes nearly three years after the $40 billion stablecoin issuer Terra collapsed in May 2022.

The missing $1.5 billion may still not have been enough for 3AC to cover creditor claims before the $10 billion crypto hedge fund’s collapse in 2022, Nansen analysts told Cointelegraph.

3AC liquidators have been trying to claw back funds held by the hedge fund on FTX since it filed a June 2023 claim in the collapsed exchanges bankruptcy case.

The next hearing in the US government’s case against Terraform Labs co-founder Do Kwon has been delayed until April after prosecutors said they found another four terabytes of evidence.

The Index, which measures overall sentiment in the crypto market, has not seen levels this low since the collapse of multiple crypto firms in 2022.

As part of discovery proceedings, prosecutors said they would search the Terraform Labs co-founder’s emails and Twitter account.

The Terraform Labs co-founder is in US custody after pleading not guilty to nine felony charges related to fraud at the platform.

Do Kwon, Terraform Labs co-founder, was extradited to the US by Montenegro, bypassing South Korea’s petition.

The Terraform Labs co-founder was indicted on eight felony charges in 2023 but will likely face an additional count for money laundering conspiracy.

“The defendant orchestrated schemes to defraud purchasers of cryptocurrencies,” the indictment against the Terraform co-founder read.

The Terraform Labs co-founder was arrested in Montenegro in 2023 for using falsified travel documents as the courts determined whether he would go to the US or South Korea.

Do Kwon was apprehended by law enforcement in Montenegro in June 2023 after attempting to flee the country with a false passport.

Montenegro’s Constitutional Court rejected Do Kwon’s appeal, backing his extradition amid claims by the US and South Korea.

The ensuing fallout from the Terra ecosystem collapse eventually caused Terraform Labs to shut down following a settlement with the SEC.

The SEC reported an unprecedented $8.2 billion in fiscal penalties, mainly due to Terraform Labs’ record $4.47 billion settlement.