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Terraform Labs Seeks $4B Damages from Jump Trading Over Terra Collapse

Terraform Labs Seeks $4B Damages from Jump Trading Over Terra Collapse

Published:
2025-12-19 10:14:03
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BTCCSquare news:

Liquidators for Terraform Labs have launched a $4 billion lawsuit against Jump Trading and its executives, alleging their actions contributed to the 2022 collapse of the Terra ecosystem. The court-appointed administrator claims proprietary trading strategies exacerbated the stablecoin's downfall.

The legal action targets both the firm and individual decision-makers, marking one of the largest post-mortem claims in crypto history. Observers note the case may set precedents for market maker liability during ecosystem failures.

|Square

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