{"id":60832,"date":"2025-11-28T08:01:32","date_gmt":"2025-11-28T08:01:32","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=60832"},"modified":"2025-11-28T08:01:32","modified_gmt":"2025-11-28T08:01:32","slug":"terra-founder-do-kwon-requests-five-year-prison-term-ahead-of-december-11-sentencing","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=60832","title":{"rendered":"Terra Founder Do Kwon Requests Five-Year Prison Term Ahead Of December 11 Sentencing"},"content":{"rendered":"
\n

The lawyers of Terraform Labs\u2019 co-founder are reportedly seeking a lesser sentence for the South Korean crypto entrepreneur\u2019s role in the multi-billion-dollar collapse, claiming that he has already \u201csuffered substantially\u201d for his crimes.<\/p>\n

Terra\u2019s Do Kwon Says Five Years In Prison Will Suffice<\/h2>\n

On Wednesday, Terraform Labs\u2019 co-founder and former CEO, Do Kwon, requested a maximum five-year prison term for his involvement in the $40 billion collapse of TerraUSD (UST) stablecoin in 2022.<\/p>\n

According to the sentencing recommendation reviewed<\/a> by Bloomberg, Kwon\u2019s legal team affirmed that the Terraform co-founder should receive a five-year sentence, as he has already spent nearly three years locked up, \u201cwith more than half that time in brutal conditions in Montenegro.\u201d<\/p>\n

The former CEO\u2019s lawyers argued that he had \u201csuffered substantially for his crimes,\u201d and the requested prison term would suffice, adding that the prosecutor\u2019s expected recommendation of a 12-year sentence is \u201c\u2018far greater than necessary\u2019 to achieve justice.\u201d<\/p>\n

Moreover, the court filing reportedly stressed that Kwon had already agreed to forfeit more than $19 million and some properties as part of the August plea deal. As reported<\/a> by Bitcoinist, Kwon pleaded guilty in August to two of the nine charges indicted by US authorities.<\/p>\n

Notably, he initially pleaded not guilty in January to a nine-count indictment that charged him with securities fraud, wire fraud, commodities fraud, and conspiracy to commit money laundering. However, he changed his stance in August, pleading guilty to conspiracy to defraud and wire fraud.<\/p>\n

At the time, Kwon also apologized<\/a> for his actions, affirming that he \u201cmade false and misleading statements\u201d about why TerraUSD regained its peg in 2021 by \u201cfailing to disclose a trading firm\u2019s role in restoring that peg,\u201d adding, \u201cWhat I did was wrong.\u201d<\/p>\n

Prosecutors are expected to file their sentencing recommendation soon. As part of the plea deal, they previously agreed not to seek more than 12 years in prison for the Terraform Labs co-founder. The sentencing by US District Judge Paul Engelmayer is scheduled for December 11, 2025, in Manhattan.<\/p>\n

\u00a0<\/p>\n

South Korea\u2019s Prosecution Pending<\/h2>\n

In the sentencing recommendation, Kwon\u2019s lawyers stressed that the former CEO still faces trial in his home country, South Korea, for the same conduct, noting that local prosecutors there are seeking<\/a> a prison term of up to 40 years.<\/p>\n

Following the collapse of Terraform Labs, both South Korean and US authorities sought to bring Kwon to justice. Nonetheless, he had been on the run for months, fleeing his home country and Singapore ahead of the company\u2019s downfall.<\/p>\n

In March 2023, Montenegrin authorities detained<\/a> him along with Terraform Lab\u2019s former finance officer, Han Chang-joon, for trying to travel with fake documents at the Podgorica Airport. Notably, Kwon was under Montenegro\u2019s\u00a0custody for over a year and a half and faced a four-month sentence, later receiving an extra two months at the request of the US and South Korea.<\/p>\n

The two countries entered a prolonged battle to bring the crypto entrepreneur to trial in each country. Initially, Montenegrin authorities approved South Korea\u2019s extradition request, but he was ultimately extradited to the US on December 31, 2024, after Montenegro\u2019s interior ministry signed their request.<\/p>\n

\"Terra,<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The lawyers of Terraform Labs\u2019 co-founder are reportedly seeking a lesser sentence for the South Korean crypto entrepreneur\u2019s role in the multi-billion-dollar collapse, claiming that he has already \u201csuffered substantially\u201d for his crimes. Terra\u2019s Do Kwon Says Five Years In Prison Will Suffice On Wednesday, Terraform Labs\u2019 co-founder and former CEO, Do Kwon, requested a […]<\/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-60832","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\/60832","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=60832"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/60832\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=60832"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=60832"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=60832"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}