The founder of Terraform Labs was sentenced to 15 years in prison by a court after being found guilty in court on charges of commodity fraud, securities fraud, wire fraud and money laundering conspiracy involving crypto investments through his company three years ago.
The scandal cost investors $40 billion in the form of Luna and TerraUSD (UST) cryptocurrencies. Kwon changed his plea to guilty in August after initially denying all charges against him in January.
He was extradited from Montenegro to the United States on January 1 after being arrested by Montenegrin authorities in 2023. After the collapse of the Terraform Labs investment scheme, Do Kwon fled to Singapore.
To bring him to justice, South Korean authorities have requested the help of Interpol. He was arrested with another suspect after he was found using forged documents while trying to fly to Dubai.
Last year, Sam Bankman Fried, who was involved in the FTX fraud, was sentenced to 25 years in prison by a court in New York. SBF was found guilty of seven charges involving money laundering and online fraud involving losses of up to $8 billion.
