Sorry mods if I posted this in the wrong forum section. I wasn't sure if this should be posted here or not. https://news.bitcoin.com/terraform-labs-ceo-do-kwon-suing-sec/ Does anyone know how to post this properly? Please let me know. This article just demonstrates that the SEC is not above the law. And it won't be long before other coin companies start suing them as well, I'm sure XRP is already in the process of filing a claim
Doesn't have the same ring: "O say does that star-spangled banner yet sue O'er the land of the free and the home of the litigous?"
Terraform sell synthetic products that fall into the derivatives category. Obviously on the Bitcoin news page the story is going to be told very differently but this is just a case of falling into regulation for derivatives, which they have to align with if they want to sell their products in the USA. Not news at all.
If they are not careful, SEC is going to ban crypto while the investment in crypto is still relatively small and these companies are going to go bankrupt. Crypto is only existing at the mercy of the government right now and some governments have already banned crypto.
Whatever. These are micro procedural arguments that have nothing to do with anything other than the CEO of Terra. It's entirely normal for the SEC to understand what's going on in the space, ensure that existing rules are respected and no one is using their complex knowledge to scam the system, including consumers.
You should read the news. You will find out that governments who have banned crypto are finding ways to unban it. China and India are already having talks about unbanning it. It's a big joke right now