Galaxy Digital has agreed to a $200 million settlement over alleged violations related to TerraLuna (LUNA).
The settlement claims that Galaxy Digital misrepresented its exit strategy and secretly sold millions of LUNA tokens while publicly endorsing the project.
Galaxy Digital's actions contributed to the surge in LUNA's market price, ultimately profiting in the hundreds of millions of dollars.
The collapse of LUNA and TerraUSD resulted in a $40 billion loss and bankruptcy of major crypto firms, including BlockFi and Three Arrows Capital.