Wednesday, 13 August, 2025
Terraform Labs' Do Kwon Pleads Guilty to Fraud in $40B Collapse, Faces Up to 12-Year Sentence
Do Kwon, co-founder of Terraform Labs, pleaded guilty in a New York federal court to conspiracy and wire fraud tied to the $40 billion collapse of TerraUSD and Luna in 2022. He admitted misleading investors by falsely claiming algorithmic stability and agreed to forfeit over $19 million. Prosecutors agreed not to seek more than a 12-year sentence, although the maximum is 25; sentencing is set for December.
Read full story at Economic Times