Kwon Do-hyung Pleads Not Guilty to Fraud Charges in US Court

Kwon Do-hyung, the founder of Terraform Labs who was extradited to the United States, has pleaded not guilty to cryptocurrency fraud charges.

According to Reuters on the 2nd (local time), Kwon Do-hyung pleaded not guilty to cryptocurrency fraud charges during a hearing at the Manhattan Federal Court. Kwon, who did not apply for bail, is scheduled to reappear in court on the 8th (local time) after being detained.

Previously, the Manhattan Federal Prosecutors unveiled nine indictments against Kwon Do-hyung, charging him with securities fraud, wire fraud, commodities fraud, and conspiracy to commit money laundering. The prosecutors stated in the indictment, "Kwon Do-hyung provided false information about the TerraUSD stablecoin in 2021," and "the growth of Terra and Luna was due to Kwon's deceptive actions."

Meanwhile, last June, Kwon Do-hyung and Terraform Labs agreed to a fine of approximately $4.5 billion with the U.S. Securities and Exchange Commission (SEC).