$40 billion-plus crypto fraud scheme results in 15-year prison sentence for its creator — nine criminal counts include wire fraud and money laundering

December 14, 2025

, By Tom’s Hardware

billion-plus crypto fraud scheme results in 15-year prison sentence for its creator — nine criminal counts include wire fraud and money laundering

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In the cryptocurrency world, stablecoins like USDC and UST are meant to have a fixed value of one U.S. dollar, and a corresponding verifiable backing of some form. That was not the case for the UST token from the Terra project, which crashed in 2022 (no relation to USDT aka Tether). Do Kwon, the project’s South Korean leader, was sentenced to 15 years in prison in the aftermath of a scheme that caused an estimated $40 to $60 billion in damages to investors.

The U.S. Department of Justice charged Kwon on…

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$40 billion-plus crypto fraud scheme results in 15-year prison sentence for its creator — nine criminal counts include wire fraud and money laundering

December 14, 2025

, Published By Tom’s Hardware

billion-plus crypto fraud scheme results in 15-year prison sentence for its creator — nine criminal counts include wire fraud and money laundering

In the cryptocurrency world, stablecoins like USDC and UST are meant to have a fixed value of one U.S. dollar, and a corresponding verifiable backing of some form. That was not the case for the UST token from the Terra project, which crashed in 2022 (no relation to USDT aka Tether). Do Kwon, the project’s South Korean leader, was sentenced to 15 years in prison in the aftermath of a scheme that caused an estimated $40 to $60 billion in damages to investors.

The U.S. Department of Justice charged Kwon on…

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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Previous News

How to watch WWE Saturday Night’s Main Event: John Cena’s Final Match

Next News

I Thought the Dell 16 Premium Was a Dazzler, But It Loses Its Luster Up Close

Tom’s Hardware

More like this

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