Terraform Labs and its co-founder Do Kwon have "reached a settlement in principle," with the U.S. Securities Exchange Commission, according to a court entry. 

A telephone conference, which was not recorded, was held on Wednesday and a previously planned oral argument set for May 29 had been canceled, according to an entry filed on Thursday.  

"The oral argument previously set for 5/29/2024 has been cancelled because the parties have informed the Court that they reached a settlement in principle," according to the filing. "The parties must file, by 6/12/2024, papers in support of a proposed final judgment consistent with the settlement."

The SEC charged Terraform and Kwon in February 2023 over the algorithmic stablecoin Terra USD (UST), which collapsed a year earlier. …