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Michaela

U.S. prosecutors seek 12-year prison term for Do Kwon over $40 billion TerraUSD collapse

U.S. federal prosecutors have asked for a 12-year prison sentence for Terraform Labs co-founder Do Kwon over the $40 billion TerraUSD collapse that roiled crypto markets. Kwon has admitted to conspiring to defraud cryptocurrency purchasers, making false statements about efforts to restore TerraUSD’s peg, and concealing Jump Trading’s covert support during a 2021 depeg. He is scheduled to be sentenced on December 11, while his legal team is seeking a five-year term. The defense cites almost three years of harsh detention in Montenegro and a parallel 40-year sentencing request in South Korea as grounds for leniency.
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