Terraform Labs co-founder Do Kwon is expected to change his plea to 'guilty' when he appears in court in New York, and the case may enter the sentencing and compensation negotiation stage.

This is a significant development for key figures following the UST/LUNA crash in 2022.

In the short term, the suppression of the 'old case risk premium' is beneficial for market sentiment recovery.

However, the regulatory authorities will further tighten the 'anchor red lines' on algorithmic stablecoins and information disclosure.

The flow of related old funds on-chain is worth tracking.