{"id":41607,"date":"2025-08-11T21:16:48","date_gmt":"2025-08-11T21:16:48","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=41607"},"modified":"2025-08-11T21:16:48","modified_gmt":"2025-08-11T21:16:48","slug":"terras-do-kwon-to-change-not-guilty-plea-in-us-fraud-case","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=41607","title":{"rendered":"Terra&#8217;s Do Kwon to Change &#8216;Not Guilty&#8217; Plea in US Fraud Case"},"content":{"rendered":"<div>\n<p>Terraform Labs founder Do Kwon may change his &#8220;not guilty&#8221; plea in federal court tomorrow, a judge said Monday.<\/p>\n<p>District Judge Paul Engelmayer, of the Southern District of New York, <a href=\"https:\/\/storage.courtlistener.com\/recap\/gov.uscourts.nysd.596117\/gov.uscourts.nysd.596117.46.0.pdf\">scheduled a hearing<\/a> for Tuesday morning in an order saying he had been &#8220;advised that the defendant may enter a change of plea.&#8221; Kwon previously pleaded &#8220;not guilty&#8221; to multiple fraud and market manipulation charges tied to the operation and subsequent collapse of Terraform&#8217;s Terra\/Luna stablecoin ecosystem.<\/p>\n<p>Kwon was extradited to the U.S. at the end of 2024 following a lengthy back-and-forth with different Montenegrin authorities. Kwon was detained in Montenegro following an attempt to travel on a fake passport.<\/p>\n<p>A trial was tentatively set for next January, after prosecutors said they needed to examine six terabytes of data during discovery. Judge Engelmayer&#8217;s order on Monday did not specify whether Kwon would plead guilty to all of the charges or if prosecutors had come to a plea deal with the defense team. His order did say the defense attorneys &#8220;should, in advance of the proceeding, review with the defendant any plea agreement or <a href=\"https:\/\/www.southflalaw.com\/practice-areas\/federal-charges\/federal-information-as-an-alternative-to-an-indictment\/\">Pimentel letter<\/a>.&#8221;<\/p>\n<p>Kwon and Terraform have already been found liable for civil fraud in a case brought by the U.S. Securities and Exchange Commission, and ordered to pay <a href=\"https:\/\/www.coindesk.com\/policy\/2024\/06\/13\/us-judge-signs-off-on-45b-terraform-do-kwon-settlement-with-sec\">$4.5 billion in penalties and disgorgement<\/a>. <\/p>\n<p>The Terra network, once worth over $18 billion, <a href=\"https:\/\/www.coindesk.com\/learn\/the-fall-of-terra-a-timeline-of-the-meteoric-rise-and-crash-of-ust-and-luna\">collapsed in a matter of days<\/a> after the algorithmic stablecoin TerraUSD (UST) lost its peg and its companion token Luna (LUNA) lost most of its value. <\/p>\n<p>An attorney for Kwon did not immediately return a request for comment. <\/p>\n<p><strong><em>Join the crypto policy conversation Sept. 10 in D.C. \u2014 Register now for<\/em><\/strong>\u00a0<strong><em><a href=\"https:\/\/policy-regulation.coindesk.com\/?utm_campaign=CDPR_Editorial_Plug&amp;utm_content=cdpr26&amp;utm_medium=marketing&amp;utm_source=Article&amp;utm_term=organic&amp;utm_id=cdpr26\">CoinDesk: Policy &amp; Regulation<\/a>.<\/em><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Terraform Labs founder Do Kwon may change his &#8220;not guilty&#8221; plea in federal court tomorrow, a judge said Monday. District Judge Paul Engelmayer, of the Southern District of New York, scheduled a hearing for Tuesday morning in an order saying he had been &#8220;advised that the defendant may enter a change of plea.&#8221; Kwon previously [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-41607","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/41607","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=41607"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/41607\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=41607"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=41607"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=41607"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}