Luna founder Kwon pleads guilty in the U.S.!
33-year-old South Korean entrepreneur Do Kwon—the architect behind the catastrophic collapse of TerraUSD and Luna—officially pleaded guilty in a New York federal court.
He admitted to conspiracy to commit fraud and wire fraud, acknowledging that he misled investors about how TerraUSD's peg to the dollar would be restored. Instead of relying on algorithms, he orchestrated secret purchases.
Sentencing is set for December 11, 2025. Under the plea agreement, prosecutors will seek a sentence of no more than 12 years, although guidelines allow for up to 25 years.
He will forfeit over $19 million, including all of his interests in Terraform Labs and its cryptocurrency.
At the hearing, Do Kwon stated, “What I did was wrong,” expressing remorse and taking responsibility for his role in one of the largest frauds in cryptocurrency history.
