The United States Securities and Exchange Commission (SEC) included a new court file containing these Slack chats, which date back to a period up to September 2019. According to the message report, Kwon and Shin, were actively contemplating tactics aimed at increasing investor interest for Chai Corporation, a Seoul-based payment provider. Kwon and Shin founded The Chai Corporation in mid-2019, and the two companies shared offices and staff until they parted ways in 2020.

In a leaked message, it appears that Kwon is discussing a strategy involving the creation of artificial transactions to boost Chai’s appeal to potential investors. In the conversation, Kwon says, “I can create simulated transactions that look very similar to real transactions.”

You might like: SEC, Postpones ETF Decisions Again

Terra Founder Denies Allegations in Ongoing Legal Dispute

Do Kwon continued explaining that these transactions would generate additional fees, which Chai could gradually remove as it expands and develops.

Kwon also appeared to propose a mutual agreement to keep this plan highly confidential with Shin, saying “I won’t disclose if you don’t.” He emphasized that it would be a tough fight for investors to detect these manipulation tactics.

Later parts of the conversation show Kwon saying, “Those who can prove this is a fabrication deserve all the praise,” expressing his determination to make it extremely difficult for the plan to be revealed: “I will spare no effort to ensure it is almost impossible to reveal.”

Despite the evidence he encountered, Do Kwon vehemently denies any allegations, claiming that the context of the evidence presented is misleading.

Kwon’s legal team argues that the communication between Kwon and Shin primarily focused on the possibility of profiting by cooperating with validators of LUNA tokens, and that the issue of creating fake Chai transactions was not the main agenda item. They state that “The SEC, during a procedural motion unrelated to a court request brought against Mr. Kwon, tried to present the evidence in an effort to weaken the basis of the SEC’s case.”

In addition, Kwon’s legal representatives express concerns about his surrender to the US regarding the collapse of the Terra ecosystem. They argue that this request is “impossible,” stating that Kwon is currently being detained in Montenegro, and that his release date has not yet been determined. These developments point to an ongoing and complex legal dispute and highlight the need for more research to determine the true nature of the allegations and evidence.

Additionally, please don’t forget to follow us on our Telegram  ,YouTube and Twitter channels.

The post Do Kwon Considers Slack Records Insignificant appeared first on Coin Engineer.

The Terra Classic community voted and accepted the halting for USTC ‘s minting with a 59% majority, considering it a significant step in addressing uncertainties that have recently affected the Terra Classic ecosystem.. About 40% of the community members, on the other hand, opposed the proposed change, reflecting differing viewpoints within the community.

The primary goal of halting USTC’s minting is to protect the interests of both the Terra Classic community and external investors. This step aims to facilitate the re-establishment of a stable linkage to the U.S. dollar by reducing the supply of USTC, thereby creating a more predictable and trustworthy environment for all stakeholders.

This crucial decision is one of the steps taken to build the Terra Classic ecosystem on a firmer foundation and reduce future uncertainties. Additionally the Terra Classic community will continue to contribute to the creation of a more stable financial environment with this change.

You might like: Degen Exchange and Rollbot.com are Closing!

Past Problems: USTC

The origin of this important decision by the Terra Classic community stems from an unexpected depreciation of TerraUSD Classic (USTC) against the U.S. dollar in May 2022. This unexpected event had widespread impacts on the Terra ecosystem and led to a serious crisis. Luna Classic (LUNC), tightly linked with USTC, bore the heaviest burden of this crisis.

Following the departure of USTC, the value of Luna Classic (LUNC) dropped almost 100% and caused shock waves in the crypto markets. The dramatic fall in the value of LUNC triggered a broader recess across cryptocurrencies, resulting in a considerable loss of about 40 billion dollars in total market value.

The proposal to halt the minting of USTC could have significant consequences for the crypto industry. In particular, it could encourage leading crypto exchanges to initiate the burning process of USTC tokens. These decisions are playing a crucial role for the future of Terra Classic project.

You can share your opinions in the comments about the topic. Also, follow us on Telegram, Twitter, and YouTube for more content like this.

The post Terra Community Voted for USTC appeared first on Coin Engineer.