The Luna Foundation Guard (LFG) has transferred around $95 million in cryptocurrency to a new wallet as part of recent efforts to bolster fund security.

Blockchain data from Arkham Intelligence indicates that the Foundation moved approximately 1.974 million AVAX tokens, valued at $71.2 million, and 39,500 BNB, approximately $23.5 million, to a newly identified address "0x13463Aab3ECcE77Cfd8Cc28fA498a5F9DB242e27" on May 31. Earlier test transactions were sent to this wallet by the Foundation on May 17.

Despite these transfers, LFG's reserve dashboard shows the foundation still retains about $161 million in total assets. This includes $71.36 million in AVAX, $45 million in UST, $23.38 million in BNB, and around $21 million in BTC, among other holdings.

LFG, a non-profit entity focused on the Terra ecosystem, faced scrutiny in 2022 over its Bitcoin transactions during the UST stablecoin crash.

In a May 28 social media update, LFG explained that it was moving assets from its multi-sig wallets to a more secure direct custody solution to enhance fund security. The recent transfers align with this plan, involving the aforementioned wallet mentioned earlier.

This development coincides with ongoing discussions involving the US Securities and Exchange Commission (SEC), bankrupt Terraform Labs, and its former CEO, Do Kwon. Specifics of the settlement remain unclear, with Judge Jed Rakoff requesting supporting documents from both parties by June 12. In April, a US District Court found Terraform Labs and Kwon liable for civil fraud.