According to the CoinMarketCap service, USTC is currently trading around $0.06741. The market capitalization of the stablecoin soared by 300% and amounted to almost $600 million. The reason for this growth was the approval by the Supreme Court of Montenegro of the extradition of Terra founder Do Kwon to South Korea or the United States, at the choice of countries that have claims against the former leader of the project. The final decision on extradition will be made by Montenegro’s Justice Minister after Do Kwon serves a four-month prison sentence in that country for document forgery.
The Terra founder was found guilty of using a fake passport when trying to leave Montenegro in March 2023. He was sentenced to four months in prison. His business partner, Hon Chang Joon, also received four months in local prison.
Do Kwon recently asked a New York district court to dismiss the US Securities and Exchange Commission’s (SEC) lawsuit, saying it failed to prove the company’s wrongdoing. Lawyers for Do Kwon and Terraform said that the cryptocurrencies Terra Luna Classic, TerraClassicUSD, Mirror Protocol and the so-called “mirror assets” (Mirrored Assets, mAssets) are not securities, as the American regulator claims.
Let us recall that in May 2022, the Terra ecosystem collapsed due to the fact that the algorithmic stablecoin USTC lost its peg to the US dollar. As a result, investors lost about $40 billion.
Source: Bits
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