A South Korean former tech executive accused of helping to highlight a cryptocurrency crisis, which cost investors more than $ 40BN (£ 31.8bn), convicted for two criminal cases of fraud.
Do Quon was the boss of Singapore -based Terraform Labs, who operated two Cryptocurrency – Terosade and Luna – both fell in 2022, causing widespread sale in the Crypto market.
The US says he was responsible for the failure of two digital currencies, accusing him of “a multi-dollar crypto asset securities fraud”.
As part of the argument deal, the prosecutors have agreed to avoid sentencing for more than 12 years. Kwon is being sentenced on 11 December.
Todd Snier said Quon’s guilty petition “underlines the importance of accountability in the digital asset sector,” said Todd Snider, which was appointed to supervise the company’s liquidation by US authorities and Terraform Labs.
He said that those who contribute to the collapse of Terform Labs will be taken into consideration by the firm and that the property will be recovered in the best interests of the claimants.
Quon’s guilty petition in a New York court comes after a long legal battle.
He initially ran away after South Korea A warrant for his arrest was issued in 2023Finally ended in Montenegro he was arrested And Jail jailed before being Extradited in america,
US prosecutors stated that Quon incorrectly presented the characteristics that were considered to have the so -called stabelcoin on $ 1 without intervention.
He alleged that in 2021, Quon arranged for a trading firm to buy millions of dollars of tokens to restore the value of the token for the trading firm, even told investors that Terra Protocol was called a computer algorithm.
Prosecutors say that the alleged wrong Bayani inspired a wide array of investors to buy Terform offerings, which helped promote the value of the company’s luna token, which was closely connected to the terraud.
The following year, Quon’s Terrars and Luna Cryptocurrency crashed.
“In 2021, I made false and misleading statements about why [TerraUSD] Reached his pegs, “he said in court on Tuesday.
He said, “What I did was wrong and I want to apologize for my conduct.”
Quon had originally requested not to be guilty for nine cases arising from the accident, including securities and wire fraud, and money laundering conspiracy.
He faced a jail of up to 135 years after being guilty of allegations in the original prosecution.
As part of his petition, Quon agreed to refrain from challenging the allegations in the prosecution.
They have to pay $ 19.3m plus interest and many assets and restorations.
While the prosecutors agreed to limit their requested sentence to 12 years, Judge Paul Angelmeyer said he was entitled to a long sentence.
This punishment can be jail up to 25 years.
He is still facing allegations according to his lawyer in South Korea.
