TERRAFORM LABS CO-FOUNDER DO KWON PLEADS GUILTY TO FRAUD IN NEW YORK
South Korean crypto entrepreneur Do Kwon, 33, has admitted guilt to two counts of fraud in a New York federal court. The Terraform Labs co-founder was behind the ill-fated TerraUSD and LUNA tokens, whose 2022 collapse wiped out an estimated $40 billion in market value.
During a hearing before U.S. District Judge Paul Engelmayer, Kwon pleaded guilty to conspiracy to commit fraud and wire fraud. The charges stem from misleading investors and the public about the stability of TerraUSD, which triggered one of the largest crashes in crypto history.
With this plea, Kwon now faces sentencing in the Southern District of New York, marking a dramatic turn in a case that shook global confidence in the digital asset market.
