Do Kwon Pleads Not Guilty in US Crypto Fraud Case

user avatar

by Giorgi Kostiuk

2 years ago

Terraform Labs founder Do Kwon, known for his role in the collapse of TerraUSD and Luna, appeared in US court pleading not guilty to nine fraud charges.

Charges Against Do Kwon

Do Kwon was extradited from Montenegro to the US after being arrested for using a fake passport. He appeared in Manhattan federal court facing charges including securities fraud, wire fraud, commodities fraud, and money-laundering conspiracy, related to the 2022 meltdown of Terraform tokens wiping out nearly $40 billion in market value.

Impact on the Crypto Market

The case became a landmark in the cryptocurrency world, opening up possibilities for litigation and regulatory action. Do Kwon agreed to detention without bail as prosecutors alleged he misled investors about TerraUSD's stability with a computer algorithm described as 'Terra Protocol'.

International Pursuit and Next Steps

Do Kwon was arrested in Montenegro in March 2023 while attempting to travel with a forged passport. Following legal disputes, Montenegrin authorities decided to extradite him to the US instead of South Korea. Kwon is due back in court on January 8, with the case prosecuted by the Manhattan US Attorney's Office.

Do Kwon's case highlights the importance of regulatory oversight in the cryptocurrency world. His upcoming legal proceedings could significantly impact the regulation and perception of the crypto market.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Nvidia Introduces OpenShell Reference Architecture for AI Agents

Nvidia has introduced the OpenShell Reference Architecture, a design for managing autonomous AI agents, at GTC Berlin.

user avatarNguyen Van Long

OpenAI Announces $1 Billion Commitment to Cybersecurity

OpenAI announced a $1 billion commitment to enhance cybersecurity measures through its AI program, Daybreak, aimed at providing subsidized access to advanced AI tools for defenders of critical infrastructure.

user avatarSatoshi Nakamura

Elon Musk Proposes Merger of SpaceX and Tesla

Elon Musk announced that SpaceX and Tesla have formed special committees to explore a merger that could create a corporation valued at approximately $35 trillion.

user avatarJesper Sørensen

Standard Chartered to Acquire Zodia Custody

Standard Chartered has signed definitive agreements to acquire Zodia Custody Limited, enhancing its digital asset safekeeping services.

user avatarRajesh Kumar

Critical PHP Vulnerability Leads to Global Website Shutdowns

A critical vulnerability in PHP has caused panic worldwide, leading several countries to take down government websites and urging organizations to shut down their PHP-based sites.

user avatarLucas Weissmann

Probly Showcases Innovative Prediction Market Solutions at TOKEN2049

During TOKEN2049, Probly showcased its innovative approach to prediction markets, emphasizing accessibility, broad market coverage, and onchain settlement.

user avatarFilippo Romano

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.