“Korea's Musk” has fallen! Defrauded the world of 40 billion, finally sentenced to 15 years in prison! $XRP
It's a relief! Do Kwon, who created one of the largest scams in cryptocurrency history and caused countless people to lose their fortunes, has finally been sentenced! 15 years in prison await this former "chosen one" in a long life behind bars.
Once upon a time, Do Kwon and his creation Terra (LUNA) along with the algorithmic stablecoin UST were the brightest myths in the cryptocurrency world. He boasted that he would make the Federal Reserve "unemployed," relying on a financial magic trick of "stepping on the left foot with the right foot"—by burning LUNA to mint UST, and then using UST to redeem LUNA—scaling UST to nearly 20 billion dollars, with LUNA's market cap even breaking into the top five globally! At 120 dollars each, many were dreaming of hundredfold or thousandfold returns.
However, when the tide recedes, we find out who was swimming naked. In May 2022, this house of cards without real asset backing collapsed, instantly evaporating over 40 billion dollars in market value, turning countless investors’ wealth into nothing, and some even took desperate measures. Now the court has torn apart the truth of this myth: there were no technological miracles, it was all a meticulously planned scam from start to finish!
· The so-called “algorithmic stability” is fake: when UST first de-pegged, Do Kwon secretly colluded with market makers, frantically throwing money to pull it back, but publicly claimed it was a victory of the model.
· The so-called “ecological application” is fake: the Korean payment giant Chai he promoted was using the Terra chain? All fabricated “phantom trades” by robots! #美联储降息
· The so-called “independent foundation” is also fake: the Luna Foundation, which was supposed to safeguard fund security, was actually his private wallet.
After the collapse, he even forged passports to flee globally, arrogantly telling investigators to “fuck off,” confident that he could buy protection with money. What happened? In 2023, he was caught red-handed at Montenegro airport with a fake passport and was eventually extradited to the U.S. to plead guilty.
An era of rampant growth is closing with the most painful lessons. The stories of these “geniuses” remind us: in the cryptocurrency world, loud slogans may be the biggest scams, and beneath the glamorous code may lie the sickle for harvesting. True innovation can never be separated from the cornerstone of integrity.
