CoinVoice has recently learned that Do Kwon admitted to two counts of fraud in federal court in New York on Tuesday. The 33-year-old co-founder of Terraform Labs developed the TerraUSD and LUNA tokens, which collapsed in 2022, resulting in approximately $40 billion in losses. Although the statutory maximum sentence is 25 years, prosecutors agreed to recommend no more than 12 years in prison if he pleads guilty and shows remorse.

The presiding judge will issue a sentencing decision on December 11. This case is one of a series of major cases during the cryptocurrency winter of 2022, when several digital asset companies went bankrupt. [Original link]