It’s been indicated that over a million people and organizations could have been impacted by the crash of TerraUSD and Luna digital currencies, a scenario being investigated by American legal authorities as they consider charges against Do Kwon, a co-founder of Terraform Labs.
As a crypto investor, I came across some intriguing information that was disclosed in a court filing dated January 6th, submitted by Acting U.S. Attorney Daniel Gitner to the U.S. District Court for the Southern District of New York.
Over 1 Million People Affected
It’s tough to precisely count the people impacted by Kwon’s actions because there were numerous transactions involving Terraform’s digital currencies, and these transactions are complex in nature. Nevertheless, he added:
According to official estimates, the potential number of affected people and organizations could be over a million.
The document detailed the plans set forth by the Justice for All Act of 2004 to educate victims about their rights. Due to the logistical challenges in delivering personalized updates to each and every impacted individual, the government proposes establishing a public website as a means to keep victims informed on the progress of their cases.
As a crypto enthusiast, I find myself under scrutiny due to accusations that my actions may have misled fellow investors. They claim that in promoting my organization, I portrayed it as a cutting-edge, decentralized financial ecosystem boasting groundbreaking technologies such as our native currency, payment system, stock exchange, and digital savings bank, when in fact, the reality might be different.
The indictment states that he misrepresented the fact that the Terra ecosystem functioned independently using blockchain technology and user governance, concealing their own control over it.
The document indicates that Kwon’s system was constructed based on “untruths” and “manipulative and dishonest” methods, culminating in investor losses surpassing $40 billion following the collapse of TerraUSD and Luna digital currencies in May 2022.
Legal Troubles
After the accident, Kwon remained at large, avoiding law enforcement until his apprehension in Montenegro in 2023 for unrelated offenses. Both South Korea and the U.S. pursued his extradition, causing extended courtroom disputes. The co-founder was eventually transferred to the U.S. in December 2024.
Currently, a 33-year-old individual is dealing with several criminal accusations in the U.S., which involve commodities deceit, securities deceit, wire deceit, and conspiring to launder money. Furthermore, the Securities and Exchange Commission (SEC) initiated a civil fraud case against him and Terraform Labs back in April 2024, eventually leading to a $4.5 billion settlement.
On the 2nd of January, 2025, I stood before a U.S. court for the first time, denying the criminal allegations against me. Currently, I’m held in detention, anticipating my next court appearance on the 8th of January.
Read More
- SUI PREDICTION. SUI cryptocurrency
- „People who loved Dishonored and Prey are going to feel very at home.” Arkane veteran sparks appetite for new, untitled RPG
- LDO PREDICTION. LDO cryptocurrency
- Destiny 2: A Closer Look at the Proposed In-Game Mailbox System
- Clash Royale Deck Discussion: Strategies and Sentiments from the Community
- Jennifer Love Hewitt Made a Christmas Movie to Help Process Her Grief
- ICP PREDICTION. ICP cryptocurrency
- Naughty Dog’s Intergalactic Was Inspired By Akira And Cowboy Bebop
- Critics Share Concerns Over Suicide Squad’s DLC Choices: Joker, Lawless, and Mrs. Freeze
- EUR IDR PREDICTION
2025-01-07 23:18