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

Elon Musk Proposes Public Shares Plan Amid AI Discussions

Elon Musk proposed giving shares from Anthropic's Public Benefit Fund directly to the public to support nonprofits and address AI's impact on workers.

user avatarLucas Weissmann

SpaceX Falcon 9 Launch Scheduled for October 19

SpaceX is preparing for a Falcon 9 rocket launch from Cape Canaveral on October 19, 2026, at 6:30 AM ET, which may create a jellyfish effect. Weather conditions currently pose a threat with only a 55% chance of favorable conditions.

user avatarRajesh Kumar

Cardano's Stablecoin Market Surpasses 702 Million

As of October 18, Cardano's stablecoin market has reached a notable milestone, with the total supply of dollar-pegged tokens hitting approximately 702 million.

user avatarFilippo Romano

Aptos Reports Token Burn and Staking Emissions

Aptos has burned approximately 174,570 APT in the last 30 days while issuing around 15 million APT through staking.

user avatarEmily Carter

Cross River Bank Integrates Ripple's RLUSD Stablecoin for Enhanced Payment Solutions

Cross River Bank integrates Ripple's RLUSD stablecoin to enhance payment solutions for fintech customers.

user avatarTomas Novak

Stocklinked Tokens in DeFi Surge to $2.624 Billion

Stocklinked tokens in decentralized finance reached approximately $2.624 billion by the end of September 2026, marking an 18-fold increase from the beginning of the year.

user avatarKaterina Papadopoulou

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.