Do Kwon, co-founder of Terraform Labs, has changed his plea from not guilty to guilty on two counts of wire fraud and conspiracy to defraud. This change occurred in the US District Court in the Southern District of New York, where he faced nine charges related to the collapse of the Terraform ecosystem, leading to approximately $40 billion in investor losses. Initially indicted in March 2023 on serious charges including securities fraud and market manipulation, Kwon was extradited from Montenegro after being arrested for using false travel documents. He had previously pleaded not guilty to all charges but now faces a potential 25-year prison sentence for the two guilty counts. This case has drawn significant attention, particularly following the notorious Terra crash in 2022. Kwon remains in US custody as developments continue in this high-profile legal matter.

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