US Court Appearance Scheduled For Do Kwon Amid Claims Of $40 Billion In Crypto Losses | Bitcoinist.com

US Court Appearance Scheduled For Do Kwon Amid Claims Of  Billion In Crypto Losses | Bitcoinist.com

Do Kwon, the South Korean entrepreneur behind the failed cryptocurrencies TerraUSD and Luna, is about to look in a Manhattan federal courtroom on Thursday, going through critical prison fraud expenses

This follows his latest extradition from Montenegro, the place he had been detained for over a yr after trying to make use of falsified journey paperwork on the nation’s Podgorica airport.

Do Kwon Faces Legal Prices In The US 

Kwon’s authorized troubles stem from the catastrophic collapse of his digital currencies in 2022, which resulted in an estimated lack of $40 billion for buyers. 

The SEC and the Manhattan US Legal professional’s workplace allege that Kwon misled buyers concerning the stability of TerraUSD, a stablecoin purported to take care of a worth of $1. The failure of TerraUSD, together with its sister token Luna, triggered a broader downturn within the cryptocurrency market, impacting established digital property like Bitcoin (BTC).

Federal prosecutors in Manhattan have charged him with a number of counts, together with securities fraud, wire fraud, commodities fraud, and conspiracy. Nonetheless, Do Kwon has persistently denied any wrongdoing, asserting that he acted transparently concerning the workings of his merchandise.

In a major growth final June, Kwon agreed to pay an $80 million civil high-quality to the US Securities and Alternate Fee (SEC) as a part of a $4.55 billion settlement associated to his firm, Terraform Labs. 

As a part of the settlement, Do Kwon additionally accepted a ban on future cryptocurrency transactions. Regardless of this, Kwon’s authorized challenges are removed from over, as he faces the potential for prison penalties within the US judicial system.

Throughout a civil trial in April, a federal jury discovered Kwon and Terraform Labs answerable for defrauding buyers. Closing arguments from Terraform’s authorized crew contended that Kwon had been truthful about his merchandise, whilst they failed. Nonetheless, Do Kwon was absent from the trial on account of his detention in Montenegro.

A Vital Check For Cryptoforeign money Regulation?

As Bitcoinist reported, Montenegro’s Minister of Justice, Bojan Božović, signed the extradition order for Kwon final week, rejecting South Korea’s request for his return. This choice got here after a authorized battle that concerned extradition requests from each the US and South Korea for over a yr. 

Do Kwon joins a rising record of cryptocurrency executives going through authorized repercussions following the market’s downturn in 2022. 

Notable figures embrace Sam Bankman-Fried, the founding father of the collapsed FTX alternate, who’s presently interesting a 25-year sentence for defrauding clients, and Alex Mashinsky, former CEO of Celsius Community, who not too long ago pleaded responsible to fraud expenses.

As Kwon prepares for his courtroom look, the result may have important implications for the way forward for cryptocurrency regulation and investor safety. 

The courtroom drama is poised to attract appreciable consideration, not solely on account of Kwon’s high-profile standing but additionally due to the broader impression his case could have on the quickly digital foreign money panorama.

The every day chart exhibits LUNC’s worth rebound to the upside. Supply: LUNCUSDT on Tradingview.com

On the time of writing, Terra’s Luna Traditional (LUNC) token is buying and selling at $0.0001148, up 1.2% within the 24-hour time-frame. 

Featured picture from DALL-E, chart from TradingView.com

Supply hyperlink

author avatar
Crypto Dunia
bitcoin
Bitcoin (BTC) $ 116,810.30 5.15%
ethereum
Ethereum (ETH) $ 2,969.21 7.05%
tether
Tether (USDT) $ 1.00 0.02%
xrp
XRP (XRP) $ 2.57 6.41%
bnb
BNB (BNB) $ 689.82 2.86%
solana
Solana (SOL) $ 164.94 4.83%
usd-coin
USDC (USDC) $ 1.00 0.00%
dogecoin
Dogecoin (DOGE) $ 0.198038 9.96%
tron
TRON (TRX) $ 0.294938 1.22%
staked-ether
Lido Staked Ether (STETH) $ 2,965.91 7.02%
cardano
Cardano (ADA) $ 0.686987 10.88%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 116,775.29 5.13%
hyperliquid
Hyperliquid (HYPE) $ 44.56 7.66%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,585.52 7.03%
sui
Sui (SUI) $ 3.48 12.31%
chainlink
Chainlink (LINK) $ 15.34 7.32%
bitcoin-cash
Bitcoin Cash (BCH) $ 520.47 2.00%
stellar
Stellar (XLM) $ 0.304883 5.99%
avalanche-2
Avalanche (AVAX) $ 20.85 7.04%
hedera-hashgraph
Hedera (HBAR) $ 0.196792 13.73%
leo-token
LEO Token (LEO) $ 9.02 0.23%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,181.01 7.04%
shiba-inu
Shiba Inu (SHIB) $ 0.000013 8.34%
weth
WETH (WETH) $ 2,969.21 7.05%
usds
USDS (USDS) $ 1.00 0.04%
the-open-network
Toncoin (TON) $ 2.97 3.75%
litecoin
Litecoin (LTC) $ 95.38 5.11%
whitebit
WhiteBIT Coin (WBT) $ 46.80 0.29%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.02%
monero
Monero (XMR) $ 328.50 0.13%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 116,774.29 5.07%
polkadot
Polkadot (DOT) $ 3.91 7.62%
pepe
Pepe (PEPE) $ 0.000013 15.72%
bitget-token
Bitget Token (BGB) $ 4.58 3.18%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.08%
uniswap
Uniswap (UNI) $ 8.40 2.97%
aave
Aave (AAVE) $ 306.20 2.72%
pi-network
Pi Network (PI) $ 0.516867 9.82%
dai
Dai (DAI) $ 1.00 0.02%
bittensor
Bittensor (TAO) $ 378.67 8.49%
aptos
Aptos (APT) $ 4.92 7.05%
near
NEAR Protocol (NEAR) $ 2.54 8.41%
ethena-staked-usde
Ethena Staked USDe (SUSDE) $ 1.18 0.05%
crypto-com-chain
Cronos (CRO) $ 0.098458 3.84%
okb
OKB (OKB) $ 49.48 2.09%
internet-computer
Internet Computer (ICP) $ 5.45 5.96%
jito-staked-sol
Jito Staked SOL (JITOSOL) $ 200.32 4.85%
ondo-finance
Ondo (ONDO) $ 0.902356 7.51%
blackrock-usd-institutional-digital-liquidity-fund
BlackRock USD Institutional Digital Liquidity Fund (BUIDL) $ 1.00 0.00%
ethereum-classic
Ethereum Classic (ETC) $ 18.52 5.12%
susds
sUSDS (SUSDS) $ 1.06 0.00%
kaspa
Kaspa (KAS) $ 0.086636 6.14%
usd1-wlfi
USD1 (USD1) $ 1.00 0.08%
mantle
Mantle (MNT) $ 0.636766 6.27%
cosmos
Cosmos Hub (ATOM) $ 4.64 7.57%
vechain
VeChain (VET) $ 0.024483 9.54%
ethena
Ethena (ENA) $ 0.326695 13.43%
arbitrum
Arbitrum (ARB) $ 0.414939 16.17%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.223612 8.27%
official-trump
Official Trump (TRUMP) $ 10.06 9.84%
render-token
Render (RENDER) $ 3.75 11.18%
gatechain-token
Gate (GT) $ 16.33 1.45%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 0.742464 6.34%
fasttoken
Fasttoken (FTN) $ 4.46 0.11%
algorand
Algorand (ALGO) $ 0.221237 14.73%
worldcoin-wld
Worldcoin (WLD) $ 1.09 19.25%
bonk
Bonk (BONK) $ 0.000024 12.17%
sei-network
Sei (SEI) $ 0.329344 24.01%
binance-peg-weth
Binance-Peg WETH (WETH) $ 2,969.99 7.02%
sky
Sky (SKY) $ 0.084416 3.35%
filecoin
Filecoin (FIL) $ 2.60 7.17%
lombard-staked-btc
Lombard Staked BTC (LBTC) $ 116,693.27 5.61%
quant-network
Quant (QNT) $ 116.42 5.44%
jupiter-perpetuals-liquidity-provider-token
Jupiter Perpetuals Liquidity Provider Token (JLP) $ 4.74 2.94%
binance-staked-sol
Binance Staked SOL (BNSOL) $ 174.81 4.77%
spx6900
SPX6900 (SPX) $ 1.63 9.15%
jupiter-exchange-solana
Jupiter (JUP) $ 0.493212 8.29%
usdtb
USDtb (USDTB) $ 0.999989 0.06%
first-digital-usd
First Digital USD (FDUSD) $ 1.00 0.18%
kucoin-shares
KuCoin (KCS) $ 11.37 1.89%
kelp-dao-restaked-eth
Kelp DAO Restaked ETH (RSETH) $ 3,108.75 6.96%
rocket-pool-eth
Rocket Pool ETH (RETH) $ 3,382.20 7.02%
pudgy-penguins
Pudgy Penguins (PENGU) $ 0.022126 30.28%
usdt0
USDT0 (USDT0) $ 1.00 0.06%
celestia
Celestia (TIA) $ 1.89 12.35%
fartcoin
Fartcoin (FARTCOIN) $ 1.33 17.15%
nexo
NEXO (NEXO) $ 1.28 2.99%
injective-protocol
Injective (INJ) $ 12.40 12.71%
xdce-crowd-sale
XDC Network (XDC) $ 0.073606 7.85%
virtual-protocol
Virtuals Protocol (VIRTUAL) $ 1.81 14.07%
optimism
Optimism (OP) $ 0.675166 14.39%
flare-networks
Flare (FLR) $ 0.016821 3.08%
blockstack
Stacks (STX) $ 0.746285 7.70%
mantle-staked-ether
Mantle Staked Ether (METH) $ 3,172.69 7.10%
stakewise-v3-oseth
StakeWise Staked ETH (OSETH) $ 3,118.00 7.02%
sonic-3
Sonic (S) $ 0.344557 8.22%
solv-btc
Solv Protocol BTC (SOLVBTC) $ 116,590.24 5.10%
polygon-bridged-usdt-polygon
Polygon Bridged USDT (Polygon) (USDT) $ 1.00 0.00%
dogwifcoin
dogwifhat (WIF) $ 1.05 9.53%
tokenize-xchange
Tokenize Xchange (TKX) $ 12.44 1.79%
Scroll to Top