Terraform Labs Seeks Citadel Data to Defend Against SEC Fraud Lawsuit, Alleges Firm Contributed to UST Stablecoin Collapse

Terraform Labs claims Citadel Securities played a role in the collapse of its USTC stablecoin in May 2022 and is seeking trading data.

Terraform alleges "certain third parties" intentionally shorted USTC, causing its depeg from $1.

Motion cites "public evidence" that Citadel's Ken Griffin planned to short UST around the time of the depeg.

Citadel has previously denied trading UST in May 2022.

Terraform says data is key to defend itself against SEC lawsuit over alleged $40 billion crypto fraud.