PANews reported on December 11 that, according to Decrypt , Terraform Labs founder Do Kwon will be sentenced in New York by Judge Paul Engelmayer . He has previously pleaded guilty to charges of conspiracy to commit commodity fraud, securities fraud, and wire fraud. Prosecutors, in their latest filing, are seeking a 12- year sentence, citing his guilty plea, time served in Montenegro, and upcoming charges in South Korea; AP states that federal sentencing guidelines recommend approximately 25 years. Do Kwon was arrested in Montenegro in 2023 for using a fake passport and was extradited to the United States in 2024 ; the TerraLUNA/UST collapse he spearheaded resulted in investor losses of up to $ 40 billion. His lawyers are seeking a 5- year sentence, along with the forfeiture of $ 19.3 million and some assets as per the plea agreement.