A former crypto entrepreneur has received a 15-year prison sentence in New York following the collapse of two digital currencies, which resulted in an estimated $40 billion loss.
Do Kwon, a South Korean national, co-founded Terraform Labs, a Singapore-based company. Terraform Labs was responsible for developing the TerraUSD and Luna digital coins.
Kwon had acknowledged misleading investors regarding TerraUSD, a stablecoin designed to maintain parity with the US dollar.
His case is one of several where individuals in leadership positions within the cryptocurrency sector have faced charges in the US. These charges followed a decline in digital token values in 2022, a period that contributed to the failure of multiple related companies.