Do Kwon, co-founder of Terraform Labs, is in custody in the United States, facing charges tied to fraud involving Terraform’s platform. U.S. Prosecutors believe that the number of individuals affected globally by the collapse of this ecosystem may exceed one million. This estimation underlines the extensive impact of Terraform’s failure on a global scale.

Kwon, extradited from Montenegro, pleaded not guilty to nine charges. The U.S. Government intends to inform victims via a dedicated website. The Terra ecosystem’s collapse in 2022 played a key role in the downturn of the cryptocurrency market, marking a pivotal moment that led to several firms filing for bankruptcy. This also resonated through significant legal actions against involved executives.