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Terraform Labs co-founder Do Kwon sentenced to 15 years in a US.

prison for the $40 billion Terra/Luna collapse.

The sentence from Judge Paul Engelmayer was longer than the 12 years prosecutors had recommended.

Kwon pleaded guilty to fraud and conspiracy charges in August 2025.

Terraform Labs co-founder Do Kwon has been sentenced to 15 years in a U.S. prison for orchestrating the $40 billion collapse of the Terra/Luna stablecoin ecosystem. The sentence was delivered by U.S. District Judge Paul A. Engelmayer in Manhattan federal court.

The judgment exceeded the 12-year recommendation from prosecutors. Judge Engelmayer described the crime as a “fraud on an epic, generational scale,” and stated that 15 years was the minimum he could impose. Related article: Terraform Founder

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