Terra (LUNA) continues to fly despite legal dispute with the SEC

Terra (LUNA) reached $ 96 today (here the quotation in real time). The all-time high from one year to the next for the multifunctional coin built to stake, lock onto stablecoins and participate in governance mechanisms. LUNA's recent venture marks an impressive 6000% increase in value for the asset which started the year at a paltry $ 0,6 market value. With the latest surge, LUNA enters the top ten cryptocurrency, concluding what experts describe as a very successful year, with over $ 35 billion in market capitalization representing a 13% increase.

Much of the magic behind the success of Terra LUNA and TerraUSD has been its widespread adoption in Asian markets. TerraUSD boasts the ability to serve as a basic Stablecoin tier for all users looking to switch from one digital asset to another, and those hoping to make some profit through the arbitrage process.

Terra LUNA against SEC

While 2021 appears to be a successful year for Terraform Labs - Terra LUNA's parent company - it has been anything but rosy for the three-year-old company founded by South Koreans Do Kwon and Daniel Shim. In November, Terralabs received a complaint from the US Securities and Exchange Commission (SEC) as part of a series of chaotic measures against possible violators of US cryptocurrency laws.

In the case of Terra LUNA and Terralabs, the SEC argued that it may have violated laws in the launch and operation of its Mirror DeFi protocol, which Terralabs built to create and trade a mirror version of the best US stocks known as "stocks. synthetic "or mAssets. A total capitalization of more than $ 924,3 million has now been recorded, marking mAssets' rapid growth and teasing the fledgling initiative in contrast to the SEC's value limit for designated commercial cryptocurrency projects.

No obligation to appear

Following the subpoena issued by the SEC, Do Kwon stated that both he and Terralabs are under no obligation to report to the SEC as the company is incorporated in Singapore and not the United States. 

The timing and how the subpoena was served - at a public Mainnet conference - is one of the reasons Do Kwon is suing the SEC for what he believes to be an invasion of privacy, intent to humiliate. , and the lack of jurisdictional powers to coerce the company to cooperate.

Gary Gensler's SEC, in defense, argued that subpoenas were served in person to the co-founder enforcing the mode of service, and that Terra LUNA does not place restrictions on US customers despite its overseas location. making it accountable to the SEC.

A formal response from the SEC is expected today on Friday, December 24th. 

The ongoing legal dispute will make Terra LUNA the second crypto-asset company to come under the SEC's legal radar, following the highly maligned Ripple Labs (XRP), whose case has continued to linger since 2020.