Galaxy Digital pays 200 million dollars to settle the Luna Current Monitor

Stay in view of the free updates

Simply subscribe to Cross currencies Myft Digest – it is delivered directly to your inbox.

Galaxy Digital from the USPTocurrency group of US Billionaire Mike Novoghatz $ 200 million to settle the investigation conducted by the New York organizers in the alleged manipulation of the distinctive symbol that began failing to collapse the encryption market for the year 2022.

in presentationThe public prosecutor in New York said that since 2020, he bought Galaxy Luna and actively promoting him, a symbol linked to Stablecoin Terrausd, while he was selling and failed to reveal his plans for sale.

The Galaxy penalty, one of the largest financial services for encryption in the world, comes at a time when the US Securities and Stock Exchange Committee restore investigations into many of the largest names in the digital asset market.

The Supreme Education Council or stops more than dozens of cases, including those against Coinbase, Conssys and Binance, after President Donald Trump indicated more friendly supervision of encryption after his inauguration in January.

The sudden failure of Terrausd in 2022 led to a loss of $ 40 billion in the market value and left its investors with heavy losses. A collapse shook EncryptionWhich leads to a series of other companies’ failures of that year, which reached its climax in the FTX exchange collapse of the Sam Bankman-Ried FTX exchange.

Last year, the founder of TerrausD Do Kwon was delivered to the United States to confront criminal charges including securities, goods and wire fraud. The American market organizers also found him responsible for fraud last year in a civil case.

The organizers claimed that Coone approached Galaxy in 2020 after his efforts failed to boost the color of Luna. Galaxy bought $ 18 million at $ 0.22 each, to deduct approximately 30 percent on the prevailing price.

Shortly after that, NovogratzA former partner in Goldman Sachs and chief executives of the Investment Castle, the publication began positively about Luna and Terrausd on social media.

In March 2021, Novoghatz also pledged to obtain Luna tattoo if it cost $ 100 per code, when the Luna market price was $ 18. After the price has passed $ 100, Novoghatz achieved well on his promise.

“But while Novogratz posted pictures of his tattoo and expressed his stunning in Luna to the public, Galaxy sold millions of symbols on the market in many complications of its initial cost without revealing that it was selling,” said the legal file.

She estimated that Galaxy sold 1.3 million Luna symbols, with its network more than $ 100 million, in the following week for the social media center of tattoos.

The organizer claimed that Galaxy has benefited from hundreds of millions of dollars from its promotional offers and sales. “Before the accident, Galaxy has already left all her position in Luna,” she said.

Galaxy said, he did not confess and do not deny the results of the New York Prosecutor.

“Did we deceive Dun and Terraform, the creators of Luna, and many other prominent institutional investors,” Novugratz said in a statement. “Galaxy fully cooperated with the organizers … We have recently realized that the New York Prosecutor was moving forward in this matter, which led to settlement discussions crowned with the result today.”

Separately, on Friday, Galaxy said it had achieved a net income of 365 million dollars last year, as it benefited from the high prices of cryptocurrencies such as Bitcoin and Al -Atheer.

The group also said that the net losses for this year until March 27 ranged between 275 million dollars and 325 million dollars after the positive momentum has faded behind the encrypted currency prices after Trump’s victory.

Bitcoin has decreased by 14 percent in the past two months, while Eter has decreased by 45 percent during the same period.