A South Korean news agency has reported that the SEC is investigating Do Kwon and now asking questions about $80 million sent to secret wallets...

The defendants in this case are Terraform Labs and Do Kwon.

The SEC alleges that Terraform offered and sold its crypto assets as securities.

The SEC recaps how Do Kwon and others created the Terraform ecosystem.

Do Kwon was hyping up wLUNA to investors, so of course they expected profits.

Do Kwon and Terraform Labs gave a reasonable expectation of profits to investors.

Do Kwon used funds from investors to flesh out the Terraform ecosystem. Here's how he did it.

Investors used fiat currency to acquire LUNA. Typically, after meeting with Do Kwon.

Do Kwon made UST holders believe that they would be raking in the profits.

Here's how all of the investors' fortunes were tied together.

This is it. This is how the Terraform Ecosystem collapsed.

Do Kwon misled investors about the stability of UST and about the algorithm that pegged UST's price to the U.S. dollar.

Do Kwon repeatedly lied to investors about Chai and used it to get them to invest.

The SEC did not mince words when talking about Do Kwon and Terraform Labs.

The SEC state that they believe Do Kwon and Terraform Labs will continue to violate the Securities Act if not restrained.

Terraform Labs was doing something they were absolutely not supposed to be doing.

The SEC just continues to drop allegation and allegation against Terraform Labs.

The SEC explicitly states that Do Kwon is liable for violations of the Exchange Act because he was the control person of Terraform.