The SEC will collect little, if anything, on that settlement amount because it agreed to be paid only after Terraform satisfies crypto loss claims as part of its bankruptcy wind-down.

This article Terraform Labs' Historic $4.5B Settlement With SEC Makes 2024 The Most Penalized Year For Crypto Firms, Fines Surge More Than 3,000% Over Last Year originally appeared on Benzinga.com.

Terraform Labs' plan to wind down has reportedly been approved, some two years after the Terra ecosystem collapsed, allegedly wiping out $40 billion in investor funds.

Terraform, which filed for bankruptcy in January, agreed to a $4.47 billion SEC settlement after a jury in Manhattan found the company liable in April for defrauding investors.

The SEC will collect little, if anything, on that settlement amount because it agreed to be paid only after Terraform satisfies crypto loss claims as part of its bankruptcy wind-down.

Terraform Labs received court approval on Thursday to wind down its operations in bankruptcy after agreeing to settle a U.S. Securities and Exchange Commission lawsuit accusing the company of ...