The U.S. Securities and Exchange Commission (SEC) has imposed a $123 million fine on Tai Mo Shan Ltd., a subsidiary of Jump Crypto, for misleading investors about the stability of TerraUSD.
TerraUSD was an algorithmic stablecoin issued by Terraform Labs that collapsed in May 2022, resulting in the loss of $40 billion in investor assets. Tai Mo Shan's actions during the collapse contributed to this financial turmoil.
This incident highlights growing regulatory scrutiny on crypto-related misconduct as authorities aim to protect investors and maintain market integrity.
