Terra founder Do Kwon sentenced to prison

Wanted by the United States and South Korea on fraud charges, Terra co-founder Do Kwon was sentenced to four months in prison by a Montenegrin court for attempting to travel on a false passport.

The Podgorica Court said yesterday that Han Chang-joon, CFO of Terraform Labs, was also found guilty of the same offense and sentenced to four months in prison. The court stated that the time spent in custody was included in the prison sentence and that the couple could appeal the decision.

Kwon and Han, known as the cryptocurrency kingpin, were caught in Montenegro in March while trying to board a private plane bound for Dubai. Montenegrin police said the two had various passports, including fake Belgian and Costa Rican ones.

ACCUSED OF FRAUD

Terra and Luna, the two digital assets Kwon founded, suffered a $40 billion market crash last year, with South Korea and the United States bringing fraud charges against Do Kwon. Kwon was also wanted on a red notice.

South Korea continues to accuse Kwon, co-founder of Terraform Labs, which developed the TerraUSD and Luna coins, of securities fraud, wire fraud, and commodity fraud.

Both coins crashed last May, with the price of TerraUSD falling from $1 to below $0.01.