Do Kwon Pleads Not Guilty in Historic Crypto Trial
Former Terraform Labs CEO Do Kwon has pleaded not guilty to all charges in the ongoing case against him. The trial, set to begin in January 2026, involves an unprecedented amount of data and complex legal issues, making it one of the most significant in the history of cryptocurrencies. The case could potentially set a precedent for the regulation of the crypto industry.
The case, presided over by Judge Paul Engelmayer, has been described as complex due to the sheer volume of data involved - a staggering 6 terabytes, including evidence from four encrypted phones seized from Do Kwon. The complexity is further compounded by the language barrier, with many documents being in Korean. This necessitates the involvement of professional translators and legal experts to ensure accurate interpretation and evaluation of the documents. The trial is scheduled to have a status conference on March 6, 2025, ahead of its tentative start date. If found guilty on the nine charges, including securities fraud and money laundering conspiracy, Do Kwon faces up to 130 years in prison.
The collapse of Terra-Luna in 2022, which the trial aims to investigate, marked a turning point for the crypto industry. It eroded investor confidence and accelerated regulatory scrutiny worldwide. The outcome of this trial is expected to have significant implications for the crypto industry and its regulation.
