Recently, Terraform Labs has announced its acquisition of Pulsar Finance, a startup specializing in cross-chain portfolio management and analysis. This move represents Terraform’s latest strategic step, especially in the midst of ongoing legal challenges, particularly following the collapse of the algorithmic stablecoin TerraUSD in May 2022.
Legal Challenges Faced by Terraform: Despite facing legal disputes, including a significant case with the U.S. Securities and Exchange Commission (SEC), Terraform has continued to develop its company.
The SEC lawsuit, filed in February, accuses Terraform of selling unregistered securities and defrauding investors. According to court records, Terraform and the SEC are currently in litigation and negotiations, potentially reaching a resolution without a full trial.
While Terraform Labs deals with legal challenges, the trial of Daniel Shin, the co-founder of Terraform Labs, officially took place in South Korea on October 30. Daniel Shin faces allegations of unauthorized fundraising and violations of capital market laws.
On the other hand, Do Kwon, after a period of evading authorities, was arrested in Montenegro and is serving a 4-month prison sentence for using a fake passport. Both the United States and South Korea are currently working to extradite Do Kwon.
Integration and Potential of Pulsar: Chris Amani, formerly the COO of Terraform and now the CEO of the company following Do Kwon’s arrest, expressed optimism about the acquisition.
The CEO emphasized that Terraform is actively building and developing, now with a clear focus on a post-Kwon strategy, with a strong emphasis on utility and blockchain ecosystem development.
Established in 2021, Pulsar rapidly developed a platform that supports analysis for over 96 networks and more than 700 protocols. Terraform plans to integrate Pulsar’s leading portfolio management product into Station, a cross-chain wallet. Additionally, Pulsar’s Data product will be integrated with Terraform’s existing infrastructure tools, enhancing the company’s technological capabilities.
Chris Amani stated that while Terraform needs time to readjust its strategy after the “disaster,” the core principle of the company remains focused on utility. With this acquisition, Terraform aims to leverage Pulsar’s technology and team to accelerate the development of cross-chain applications and introduce them to the market.
Furthermore, this acquisition marks a significant milestone for Terraform Labs, laying the foundation for its future within the blockchain ecosystem.