Prosecutors Recommend 12-Year Sentence for Do Kwon in $40 Billion Terra Fraud

Federal prosecutors have requested a 12-year prison term for Terraform Labs founder Do Kwon in connection with the 2022 collapse of Terra USD and Luna tokens that wiped out $40 billion in value. The sentencing recommendation was filed Thursday with the U.S. District Court for the Southern District of New York. Prosecutors cited the unprecedented scale of the fraud and Kwon's conduct in artificially inflating asset values while enriching himself.