US Edition
Crypto Mogul Do Kwon, Known as 'the Cryptocurrency King,' Pleads Guilty to Fraud Charges
NEW YORK CITY, NEW YORK, UNITED STATES, AUG 12 – Do Kwon faces nine felony charges including fraud and money laundering for orchestrating a scheme that caused TerraUSD and Luna to collapse, wiping out $40 billion, court records show.
- Do Kwon, co-founder of Terraform Labs, faces a federal hearing on Tuesday, August 12, 2025, in Manhattan regarding a criminal fraud case tied to TerraUSD's 2022 collapse.
- The case arises from TerraUSD and Luna's collapse that wiped out about $40 billion in value and triggered global crypto market instability and bankruptcies.
- Kwon was extradited from Montenegro at the end of 2024 after a two-year battle and previously pleaded not guilty to nine felony counts including fraud and money laundering.
- Judge Paul Engelmayer ordered Kwon to prepare a narrative allocution outlining offenses if he pleads guilty, while defense counsel assists drafting a statement for open court reading.
- If Kwon pleads guilty, he must explain his violations, and Terraform Labs must wind down operations, using remaining assets to pay creditors, reflecting intensified legal and financial consequences.
111 Articles
111 Articles
The Korea Times
The Star Kuala LumpurDo Kwon pleads guilty to US fraud charges in $40 billion crypto collapse
NEW YORK — Do Kwon, the Korean cryptocurrency entrepreneur behind two digital currencies that lost an estimated $40 billion in 2022, pleaded guilty on Tuesday to two U.S. charges of conspiracy to defraud and wire fraud. Kwon, 33, who co-founded Singapore-based Terraform Labs and developed the TerraUSD and Luna currencies, entered the plea at a court hearing in New York before U.S. District Judge Paul Engelmayer. He had pleaded not guilty in Janu…
Crypto mogul Do Kwon, known as ‘the cryptocurrency king,’ pleads guilty to fraud charges
South Korean cryptocurrency mogul Do Kwon pleaded guilty on Tuesday to two fraud charges arising from the US$40 billion collapse of a cryptocurrency ecosystem that had promised investors their money was safe.
Sydney Morning Herald
‘What I did was wrong’: 33-year-old crypto mogul pleads guilty over $61 billion collapse
The implosion of Terra in 2022 helped trigger the meltdown of cryptocurrency exchange FTX and sparked an international manhunt for Do Kwon.
A graduate of Stanford, passed by Apple and Microsoft, the entrepreneur is accused of being at the origin of a fraudulent bankruptcy of several tens of billions of dollars in 2022.
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