Terra Founder Do Kwon Sentenced to 15 Years in Prison for Fraud

Key Facts

Terra founder Do Kwon has been sentenced to 15 years in a US prison after pleading guilty to fraud charges. According to cryptoticker.io, the sentencing follows Kwon's guilty plea to conspiracy to commit fraud and wire fraud related to the collapse of the UST stablecoin and LUNA token.

The criminal sentence follows a $4.47 billion civil settlement with the US Securities and Exchange Commission, of which Kwon was personally liable for approximately $204 million. The May 2022 collapse of the Terra ecosystem triggered a massive contagion in the crypto market, resulting in estimated investor losses of $40 billion worldwide.