SEC Takes Action Against Tai Mo Shan Limited Over Terra USD and LUNA Securities Misconduct Allegations

**SEC Charges Tai Mo Shan Limited Over Terra USD and LUNA Securities Misconduct**

In a shocking turn of events, the United States Securities and Exchange Commission (SEC) has brought charges against Tai Mo Shan Limited for its alleged involvement in Terra USD (UST) and LUNA securities misconduct.

According to the charges filed by the SEC, Tai Mo Shan Limited, a subsidiary of Jump Crypto Holdings LLC, misled investors about the stability of UST. The company allegedly intervened to stabilize the price of UST, which had dropped below $1, when it should have maintained its algorithmic peg. This intervention, the SEC claims, led investors to believe that the algorithm was still intact and stable.

Furthermore, the SEC has also charged Tai Mo Shan Limited for offering unregistered LUNA securities. The company is accused of obtaining LUNA tokens and selling them on U.S.-based platforms without proper registration, violating federal securities laws. This, according to the SEC, amounts to a security fraud and has caused damage to investors.

As part of the settlement, Tai Mo Shan Limited has agreed to pay $123 million in fines and penalties. The SEC’s stance on crypto market compliance highlights the importance of regulatory adherence in the digital assets space.

Source: cryptonewsland.com