A United States federal judge has sided with the Securities and Exchange Commission (SEC) in a case against Terraform Labs and its former CEO, Do Kwon. The court granted summary judgment in favor of the SEC, which alleged that Terraform Labs and Kwon offered and sold two unregistered securities, LUNA and Mirror Protocol tokens. The court cited a previous statement from Kwon, indicating that LUNA holders could “[s]it back and watch [him] kick ass,” as evidence that LUNA satisfied the Howey test. The ruling highlights the SEC’s ongoing efforts to regulate the digital asset space and enforce securities laws, emphasizing the importance of compliance with registration requirements. (Source: Cointelegraph)