Kwon’s US Hearing Delayed: Prosecutors Review New Evidence

Do Kwon’s US Court Hearing Delayed: A Simple Explanation

Do you remember the big trouble with the cryptocurrency called TerraUSD last year? The man behind it, Do Kwon, is now in a legal battle. Recently, a US court postponed an important hearing in his case because there’s so much new evidence. Let’s break down what’s happening.

The Problem with TerraUSD

TerraUSD was an algorithmic stablecoin, which means its value was supposed to stay the same as the US dollar. But in 2022, it crashed, and many people lost a lot of money – about $40 billion[1]. The US government thinks Do Kwon lied about how stable TerraUSD was, which led to this big loss. But Kwon says it wasn’t his fault.

The Delay and New Evidence

The court hearing was delayed because the prosecutors gave the defense team a huge amount of new evidence. They sent 600 gigabytes of data, including messages from Do Kwon’s phones, emails, and crypto transactions[2][3]. They even said they’ll send four more terabytes soon! This is why the hearing was postponed from March 10 to April 10[1][2].

What Does This Mean?

The delay makes the case even more complicated. The defense team has to go through all this new evidence. But it also shows that both sides want to make sure everything is looked at carefully before the trial[1][2].

What’s Next?

The trial is still scheduled for January 26, 2026[1][3]. People who lost money can still submit their claims until April 30[2]. The US Securities and Exchange Commission (SEC) is also involved. They already said Kwon and Terraform Labs cheated investors and fined them $4.5 billion[1].

A New Chapter in Crypto Rules

This delay is a big moment in the story of how cryptocurrency is ruled. As the legal system tries to understand digital money better, cases like this show we need clearer rules and stricter watching. The result of this case will not just decide Do Kwon’s future, but also set an example for other crypto legal battles. So, the future of cryptocurrency is being shaped by these legal fights happening now.

—

Sources:
– Cryptoslate
– Protos
– PANewsLab
– ChainCatcher