Thursday, New York. A verdict that could rewrite the history of cryptocurrency regulation is about to be delivered.

Do Kwon, the creator of the Terra ecosystem—a name that once made hundreds of thousands rich overnight and then lose everything—is finally facing his "judgment day" in a US court. Cointelegraph revealed that the US District Court for the Southern District of New York is scheduled to sentence him this Thursday—he has previously pleaded guilty to two counts of wire fraud and conspiracy to commit fraud, both felonies.

Remember the shocking crash in 2022? The death spiral of the algorithmic stablecoin UST and Luna wiped out nearly $60 billion in market value. Now, this most devastating disaster in crypto history has finally reached a key point of judicial reckoning.

⚖️ Multinational Maneuvering in Court

Presiding Judge Paul Engelmayer clearly understands this is no simple criminal trial. In court, he threw a series of questions at both the prosecution and defense: What charges will Kwon face in South Korea? How long is the sentence there? Can the four months he spent in a Montenegro prison for passport forgery be deducted from his US sentence?

Behind these details is a complex game spanning three judicial systems. The judge knows well that after serving his sentence in the US, South Korea is still waiting for him—the arrest warrant issued in 2022 is still valid; they just haven't been able to get him.

💥 Sentencing Battle: 5 Years vs 12 Years

The defense attorneys had an interesting argument: "Five years is enough, after all, he still has to serve time in Korea, where the maximum sentence is 40 years." In other words, the US side should be more lenient, since his life is basically over either way.

But the prosecutors aren’t buying it, directly demanding at least twelve years. This seven-year difference could mean Kwon gets out at 40 years old or at 47.

🌍 From Silicon Valley Darling to Global Fugitive

Looking back at Kwon’s escape route is almost surreal: after the Terra collapse, he vanished, used fake passports to flee around the world, and was finally caught at an airport in Montenegro. This spy-thriller-like journey ultimately couldn’t save him from the long arm of the law.

Thursday’s verdict isn’t just about Do Kwon’s personal fate—it’s a lesson for the entire crypto industry: after the dream of algorithmic stablecoins collapsed, someone has to pay for this high-stakes gamble.

How many years do you think the judge will give him? What impact do you think this case will have on the industry?