Crypto mogul Do Kwon pleads guilty to fraud charges
According to a plea agreement signed by Kwon and prosecutors, the government will not seek a prison term of more than 12 years as long as Kwon complies with the deal’s terms, even though federal sentencing guidelines would have recommended about 25 years. Sentencing is set for Dec. 11.
Authorities said investors worldwide lost money in the Singapore crypto firm Terraform Labs’ $40-billion crash. Kwon co-founded the company in 2018.
The May 2022 collapse came after the company claimed TerraUSD was a reliable “stablecoin.”
TerraUSD was designed as a stablecoin — a currency pegged to stable assets such as the dollar to prevent drastic price fluctuations. However, about $40 billion in market value was…
