"Judge Breaks Precedent, Denies Terraform Labs' Motion to Dismiss SEC Lawsuit Against Ripple"

A federal judge has denied Terraform Labs' motion to dismiss a lawsuit filed by the U.S. Securities and Exchange Commission (SEC), stating that the SEC has jurisdiction and a plausible claim that Terraform's stablecoin, TerraUSD (UST), the Anchor Protocol, and LUNA may have violated securities law. The judge also rejected the use of a ruling in the Ripple case, where another judge ruled that Ripple did not violate securities law in selling XRP to retail investors through an exchange intermediary. The SEC has hinted at a possible appeal, and the price of XRP dropped around 2% following the ruling.