Do Kwon, co-founder of Terraform Labs, may face a second criminal trial in South Korea despite receiving a 15-year prison sentence in the United States for his role in the $40 billion collapse of the TerraUSD ecosystem.
The 34-year-old South Korean national was sentenced last week by a federal court in Manhattan.
The judge rejected sentencing requests from both prosecutors and defense lawyers, imposing a term longer than sought by the defense but above the government’s recommendation.
Under South Korean law, Kwon could apply for a transfer to Korea after serving half of his US sentence.
If returned, he would face prosecution for alleged breaches of South Korea’s Capital Markets Act, with local authorities reportedly seeking a prison term of more than 30 years.
South Korean prosecutors issued an arrest warrant for Kwon in September 2022, citing the need to hold him accountable for losses suffered by domestic investors.
Officials estimate that around 200,000 Koreans lost approximately 300 billion won due to the Terra collapse.
