{"id":322291,"date":"2025-11-27T23:21:46","date_gmt":"2025-11-27T23:21:46","guid":{"rendered":"https:\/\/peraltafinancing.com\/uncategorized\/do-kwon-pleads-for-five-years-in-prison-over-40b-terrausd-collapse-report\/"},"modified":"2025-11-27T23:21:46","modified_gmt":"2025-11-27T23:21:46","slug":"do-kwon-pleads-for-five-years-in-prison-over-40b-terrausd-collapse-report","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=322291","title":{"rendered":"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report"},"content":{"rendered":"


\n<\/p>\n

Do Kwon, the co-founder of Terraform Labs, is asking a
\nUS court to limit his prison term to five years for his role in the dramatic
\ncollapse of the TerraUSD stablecoin<\/a>, which wiped out $40 billion in 2022. <\/p>\n

Kwon\u2019s request comes ahead of his December sentencing
\nin Manhattan, where a judge will decide the length of his term following his
\nguilty plea to conspiracy and wire fraud, Bloomberg reported. <\/p>\n

Defense Argues Time Served and Harsh Conditions<\/p>\n

Kwon recently pleaded guilty, avoiding a trial after
\nhis extradition from Montenegro, where he had been arrested and convicted for
\nusing a fake passport while evading charges in South Korea.<\/p>\n

His lawyers argued in court filings that the maximum
\n12 years agreed in his plea deal is \u201cfar greater than necessary\u201d to achieve
\njustice. They emphasized that Kwon has already spent nearly three years in
\ncustody, including over half that time in \u201cbrutal conditions\u201d in Montenegro<\/a>.<\/p>\n

As part of his plea deal, Kwon agreed to forfeit more
\nthan $19 million and several properties. His lawyers highlighted that he still
\nfaces potential prosecution in South Korea, where authorities are seeking a
\n40-year prison term for the same actions.<\/p>\n

Sentencing Set for December<\/p>\n

US District Judge Paul Engelmayer is scheduled to hand
\ndown Kwon\u2019s sentence on December 11. The government is expected to submit its
\nown recommendation before then, which could influence whether Kwon\u2019s requested
\nfive-year term is granted.<\/p>\n

You may also like: London Companies Push CEO Packages to Compete With US Rivals as FTSE 100 Pay Jumps 11%<\/a><\/p>\n

In August, Kwon appeared in a Manhattan federal
\ncourtroom and pleaded guilty to conspiracy to defraud and wire fraudin connection with the collapse of his TerraUSD<\/a> and Luna cryptocurrencies<\/a>. <\/p>\n

The failure of these digital assets in 2022 wiped out
\napproximately $40 billion in investor funds during the crypto market downturn. The 33-year-old South
\nKorean entrepreneur admitted to deliberately misleading investors about how
\nTerraUSD maintained its $1 value. <\/p>\n

\u201cI made false and misleading statements about why it regained its peg by failing to disclose a trading firm’s role in restoring that peg,\u201d Kwon told the court. \u201cWhat I did was wrong.\u201d<\/p>\n

This article was written by Jared Kirui at www.financemagnates.com.
\n
<\/p>\n","protected":false},"excerpt":{"rendered":"

Do Kwon, the co-founder of Terraform Labs, is asking a US court to limit his prison term to five years for his role in the dramatic collapse of the TerraUSD stablecoin, which wiped out $40 billion in 2022. Kwon\u2019s request comes ahead of his December sentencing in Manhattan, where a judge will decide the length […]<\/p>\n","protected":false},"author":1,"featured_media":322292,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11815],"tags":[45436,20585,149615,149616,39902,6466,10930,149617,1003],"dealstore":[],"offerexpiration":[],"class_list":["post-322291","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-40b","tag-collapse","tag-do-kwon","tag-kwon","tag-pleads","tag-prison","tag-report","tag-terrausd","tag-years"],"yoast_head":"\nDo Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report - Som2ny Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fivemor.com\/?p=322291\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report - Som2ny Network\" \/>\n<meta property=\"og:description\" content=\"Do Kwon, the co-founder of Terraform Labs, is asking a US court to limit his prison term to five years for his role in the dramatic collapse of the TerraUSD stablecoin, which wiped out $40 billion in 2022. Kwon\u2019s request comes ahead of his December sentencing in Manhattan, where a judge will decide the length […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/fivemor.com\/?p=322291\" \/>\n<meta property=\"og:site_name\" content=\"Som2ny Network\" \/>\n<meta property=\"article:published_time\" content=\"2025-11-27T23:21:46+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"900\" \/>\n\t<meta property=\"og:image:height\" content=\"500\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/fivemor.com\/?p=322291#article\",\"isPartOf\":{\"@id\":\"https:\/\/fivemor.com\/?p=322291\"},\"author\":{\"name\":\"admin\",\"@id\":\"https:\/\/fivemor.com\/#\/schema\/person\/b85e3c3dc0e1daea076524dc8810c371\"},\"headline\":\"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report\",\"datePublished\":\"2025-11-27T23:21:46+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/fivemor.com\/?p=322291\"},\"wordCount\":373,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/fivemor.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/fivemor.com\/?p=322291#primaryimage\"},\"thumbnailUrl\":\"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg\",\"keywords\":[\"40B\",\"collapse\",\"Do Kwon\",\"Kwon\",\"Pleads\",\"prison\",\"Report\",\"TerraUSD\",\"Years\"],\"articleSection\":[\"Cryptocurrency\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/fivemor.com\/?p=322291#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/fivemor.com\/?p=322291\",\"url\":\"https:\/\/fivemor.com\/?p=322291\",\"name\":\"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report - Som2ny Network\",\"isPartOf\":{\"@id\":\"https:\/\/fivemor.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/fivemor.com\/?p=322291#primaryimage\"},\"image\":{\"@id\":\"https:\/\/fivemor.com\/?p=322291#primaryimage\"},\"thumbnailUrl\":\"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg\",\"datePublished\":\"2025-11-27T23:21:46+00:00\",\"breadcrumb\":{\"@id\":\"https:\/\/fivemor.com\/?p=322291#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/fivemor.com\/?p=322291\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/fivemor.com\/?p=322291#primaryimage\",\"url\":\"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg\",\"contentUrl\":\"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg\",\"width\":900,\"height\":500},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/fivemor.com\/?p=322291#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/fivemor.com\/?bp_activities=1\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/fivemor.com\/#website\",\"url\":\"https:\/\/fivemor.com\/\",\"name\":\"Som2ny Network\",\"description\":\"Daily Deals\",\"publisher\":{\"@id\":\"https:\/\/fivemor.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/fivemor.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/fivemor.com\/#organization\",\"name\":\"Som2ny Network\",\"url\":\"https:\/\/fivemor.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/fivemor.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/fivemor.com\/wp-content\/uploads\/2026\/07\/4a0953c4-logo-300x86-1.png\",\"contentUrl\":\"https:\/\/fivemor.com\/wp-content\/uploads\/2026\/07\/4a0953c4-logo-300x86-1.png\",\"width\":300,\"height\":86,\"caption\":\"Som2ny Network\"},\"image\":{\"@id\":\"https:\/\/fivemor.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/fivemor.com\/#\/schema\/person\/b85e3c3dc0e1daea076524dc8810c371\",\"name\":\"admin\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/fivemor.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/729ae85bf62b9917e93538db2f2688ca?s=96&r=g&default=https%3A%2F%2Ffivemor.com%2Fwp-content%2Fplugins%2Fbuddypress-first-letter-avatar%2Fimages%2Fdefault%2F96%2Flatin_a.png\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/729ae85bf62b9917e93538db2f2688ca?s=96&r=g&default=https%3A%2F%2Ffivemor.com%2Fwp-content%2Fplugins%2Fbuddypress-first-letter-avatar%2Fimages%2Fdefault%2F96%2Flatin_a.png\",\"caption\":\"admin\"},\"sameAs\":[\"https:\/\/fivemor.com\"],\"url\":\"https:\/\/fivemor.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report - Som2ny Network","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/fivemor.com\/?p=322291","og_locale":"en_US","og_type":"article","og_title":"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report - Som2ny Network","og_description":"Do Kwon, the co-founder of Terraform Labs, is asking a US court to limit his prison term to five years for his role in the dramatic collapse of the TerraUSD stablecoin, which wiped out $40 billion in 2022. Kwon\u2019s request comes ahead of his December sentencing in Manhattan, where a judge will decide the length […]","og_url":"https:\/\/fivemor.com\/?p=322291","og_site_name":"Som2ny Network","article_published_time":"2025-11-27T23:21:46+00:00","og_image":[{"width":900,"height":500,"url":"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg","type":"image\/jpeg"}],"author":"admin","twitter_card":"summary_large_image","twitter_misc":{"Written by":"admin","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/fivemor.com\/?p=322291#article","isPartOf":{"@id":"https:\/\/fivemor.com\/?p=322291"},"author":{"name":"admin","@id":"https:\/\/fivemor.com\/#\/schema\/person\/b85e3c3dc0e1daea076524dc8810c371"},"headline":"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report","datePublished":"2025-11-27T23:21:46+00:00","mainEntityOfPage":{"@id":"https:\/\/fivemor.com\/?p=322291"},"wordCount":373,"commentCount":0,"publisher":{"@id":"https:\/\/fivemor.com\/#organization"},"image":{"@id":"https:\/\/fivemor.com\/?p=322291#primaryimage"},"thumbnailUrl":"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg","keywords":["40B","collapse","Do Kwon","Kwon","Pleads","prison","Report","TerraUSD","Years"],"articleSection":["Cryptocurrency"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/fivemor.com\/?p=322291#respond"]}]},{"@type":"WebPage","@id":"https:\/\/fivemor.com\/?p=322291","url":"https:\/\/fivemor.com\/?p=322291","name":"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report - Som2ny Network","isPartOf":{"@id":"https:\/\/fivemor.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/fivemor.com\/?p=322291#primaryimage"},"image":{"@id":"https:\/\/fivemor.com\/?p=322291#primaryimage"},"thumbnailUrl":"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg","datePublished":"2025-11-27T23:21:46+00:00","breadcrumb":{"@id":"https:\/\/fivemor.com\/?p=322291#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/fivemor.com\/?p=322291"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/fivemor.com\/?p=322291#primaryimage","url":"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg","contentUrl":"https:\/\/fivemor.com\/wp-content\/uploads\/2025\/11\/Do20Kwon2C20ceo20of20terraform20labs_id_d7f3e8c4-c8d6-450b-be54-3631f9baec16_size900.jpg","width":900,"height":500},{"@type":"BreadcrumbList","@id":"https:\/\/fivemor.com\/?p=322291#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/fivemor.com\/?bp_activities=1"},{"@type":"ListItem","position":2,"name":"Do Kwon Pleads for Five Years in Prison Over $40B TerraUSD Collapse: Report"}]},{"@type":"WebSite","@id":"https:\/\/fivemor.com\/#website","url":"https:\/\/fivemor.com\/","name":"Som2ny Network","description":"Daily Deals","publisher":{"@id":"https:\/\/fivemor.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/fivemor.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/fivemor.com\/#organization","name":"Som2ny Network","url":"https:\/\/fivemor.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/fivemor.com\/#\/schema\/logo\/image\/","url":"https:\/\/fivemor.com\/wp-content\/uploads\/2026\/07\/4a0953c4-logo-300x86-1.png","contentUrl":"https:\/\/fivemor.com\/wp-content\/uploads\/2026\/07\/4a0953c4-logo-300x86-1.png","width":300,"height":86,"caption":"Som2ny Network"},"image":{"@id":"https:\/\/fivemor.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/fivemor.com\/#\/schema\/person\/b85e3c3dc0e1daea076524dc8810c371","name":"admin","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/fivemor.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/729ae85bf62b9917e93538db2f2688ca?s=96&r=g&default=https%3A%2F%2Ffivemor.com%2Fwp-content%2Fplugins%2Fbuddypress-first-letter-avatar%2Fimages%2Fdefault%2F96%2Flatin_a.png","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/729ae85bf62b9917e93538db2f2688ca?s=96&r=g&default=https%3A%2F%2Ffivemor.com%2Fwp-content%2Fplugins%2Fbuddypress-first-letter-avatar%2Fimages%2Fdefault%2F96%2Flatin_a.png","caption":"admin"},"sameAs":["https:\/\/fivemor.com"],"url":"https:\/\/fivemor.com\/?author=1"}]}},"_links":{"self":[{"href":"https:\/\/fivemor.com\/index.php?rest_route=\/wp\/v2\/posts\/322291","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/fivemor.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fivemor.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=322291"}],"version-history":[{"count":0,"href":"https:\/\/fivemor.com\/index.php?rest_route=\/wp\/v2\/posts\/322291\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=\/wp\/v2\/media\/322292"}],"wp:attachment":[{"href":"https:\/\/fivemor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=322291"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=322291"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=322291"},{"taxonomy":"dealstore","embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fdealstore&post=322291"},{"taxonomy":"offerexpiration","embeddable":true,"href":"https:\/\/fivemor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fofferexpiration&post=322291"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}