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Benzinga
  • 3 months ago
Do Kwon was sentenced to 15 years for fraud tied to the TerraUSD/Luna collapse, which wiped out about $40B in 2022. Prosecutors said he misled investors about how UST held its $1 peg and secretly propped it up through a trading firm. He agreed to an $80M fine and a crypto ban under a $4.55B SEC deal and may seek transfer after serving half his U.S. term.
Transcript
00:00It's Benzinga bringing Wall Street to Main Street
00:02Duquan was sentenced Thursday to 15 years in prison after pleading guilty to fraud
00:07tied to the collapse of TerraUSD and Luna, which erased an estimated $40 billion in investor value
00:13in 2022, according to Reuters. U.S. District Judge Paul Engelmeyer said
00:19Quan repeatedly lied to investors about how TerraUSD maintained its $1 peg
00:23and called the scheme an epic generational fraud.
00:27Prosecutors said Quan secretly arranged for a trading firm to buy the token
00:31after it slipped below $1 in 2021, rather than disclosing the intervention.
00:36Quan agreed to pay an $80 million civil fine and accept a crypto ban
00:40under a $4.55 billion SEC settlement.
00:44He faces charges in South Korea and may seek transfer abroad after serving half of his U.S. sentence.
00:49For all things money, visit Benzinga.com.
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