Get the latest tech news

'Cryptocrash king' Do Kwon pleads guilty to fraud


He has been accused of a helping to spark a cryptocurrency crisis that cost investors more than $40bn.

A South Korean former tech executive accused of a helping to spark a cryptocurrency crisis that cost investors more than $40bn (£31.8bn) has pleaded guilty to two criminal counts of fraud. They alleged that in 2021, Kwon arranged for a trading firm to surreptitiously purchase millions of dollars worth of the token to restore TerraUSD's value, even as he told investors that a computer algorithm called Terra Protocol was responsible. Prosecutors say the alleged misrepresentation prompted a wide array of investors to buy Terraform's offerings, which helped prop up the value of the company's Luna token, which was closely linked to TerraUSD.

Get the Android app

Or read this on BBC News

Read more on:

Photo of fraud

fraud

Photo of kwon

kwon

Photo of Cryptocrash

Cryptocrash

Related news:

News photo

Crypto founder Do Kwon pleads guilty to US fraud charges

News photo

Do Kwon, Crypto Founder Who Caused 2022 Market Crash, Pleads Guilty to Fraud

News photo

Do Kwon Pleads Guilty to Fraud Over $40 Billion Terra Collapse