'Cryptocrash king' Do Kwon pleads guilty to fraud

In a major development, Do Kwon, the co-founder of the now-defunct cryptocurrency firm Terraform Labs, has pleaded guilty to fraud charges. Kwon, known as the "Cryptocrash king," was the driving force behind the collapse of the TerraUSD stablecoin and its associated cryptocurrency, Luna, which wiped out an estimated $40 billion in investor funds. The South Korean national was arrested in Montenegro in March 2023 after months on the run. He is now facing extradition to South Korea, where he will stand trial for his role in the colossal crypto meltdown. The charges against Kwon include violating capital markets laws, market manipulation, and fraud. The collapse of the TerraUSD and Luna ecosystem in May 2022 sent shockwaves through the cryptocurrency market, leading to a wider "crypto winter" that saw the values of major digital assets plummet. Kwon's guilty plea is a significant development in the ongoing investigation into the Terraform Labs debacle, which has been described as one of the most significant crypto scandals in recent history.