TerraForm Labs founder Do Kwon may change his “not guilty” plea in the federal court tomorrow, a judge said Monday.
District Judge Paul Engelmayer from the southern district of New York planned a hearing for Tuesday morning in an order that said he had been “advised that the defendant can enter into a plea.” Kwon previously pleaded “not guilty” for multiple fraud and market manipulation fees tied to the operation and subsequent collapse of Terraform’s Terra/Luna StableCoin ecosystem.
Kwon was extradited to the United States at the end of 2024 after a long back and forth with different Montenegrin Authorities. Kwon was detained in Montenegro after an attempt to travel on a false passport.
A trial was currently nominated for next January after prosecutors said they had to investigate six terabyte data during the discovery. Judge Engelmayer’s order on Monday did not specify whether Kwon would claim to blame for all the charges or whether prosecutors had come to a plea for the defense team. His order said the defense attorneys “at the forefront of the procedure reviewed the defendant any plea of an agreement or Pimental letter.”
Kwon and Terraform have already been found responsible for civil fraud in a case brought by the US Securities and Exchange Commission and ordered to pay $ 4.5 billion in sanctions and disgorg.
The Terra Network, once worth over $ 18 billion, collapsed in a few days after the algorithmic stableecoin Terrausd lost his stick and his companion token Luna (Luna) lost most of its value.
A KWON lawyer did not immediately return a request for comment.
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