PANews reported on February 19 that according to Etoday, the South Korean Supreme Court ruled that the stablecoin TerraUSD and the cryptocurrency Luna are not considered financial investment products or securities. These digital assets collapsed in May 2022, losing about $40 billion in value. The latest court ruling may affect similar legal disputes in lower courts.

In November 2022, a Seoul court rejected prosecutors’ request to seize the assets of Daniel Shin, co-founder of Terraform Labs, the company behind the tokens. When prosecutors appealed, the same court reaffirmed its decision in February 2023.

At the Court of Appeal, judges said the evidence presented by prosecutors was insufficient to classify Luna as a "financial investment product" under the Financial Investment Services and Capital Markets Act. The ruling came three years after the legal proceedings began.