Terraform Labs, Do Kwon ordered to pay investors at least US$1.3 million over UST collapse
They are to compensate investors who bought TerraUSD on promises they admitted were fradulent
The Singapore International Commercial Court has ordered Terraform Labs and its co-founder Do Kwon to pay approximately US$1.3 million in damages to investors affected by the collapse of TerraUSD stablecoin in 2022. The ruling covers 31 investors, including 28 from the third round of a representative action and three from the second round.
The court found that all investors relied on the defendants' false statements regarding TerraUSD's stability, peg to the US dollar, and the safety of the Anchor savings product. The damages were limited to losses up to May 12, 2022, when the stablecoin failed to maintain its peg for four consecutive days.
Written by urgent.news from The Business Times - Singapore's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
