Overview
- Kwon pleaded guilty in August to wire‑fraud conspiracies tied to Terraform Labs and agreed to forfeit roughly $19 million.
- Prosecutors told the court they will not seek investor restitution given the complexity of calculating individual losses from the roughly $40 billion collapse.
- The judge credited the 17 months Kwon spent jailed in Montenegro after his arrest for using a false passport before extradition to New York.
- Court filings described TerraUSD’s dollar peg as an illusion maintained by outside cash infusions, with more than 300 victim letters outlining severe personal and institutional losses.
- Kwon was denied a request to serve his sentence in South Korea and still faces potential prosecution there after his U.S. term.