Do Kwon, the co-founder of Terraform Labs, pleaded not guilty in a New York court to U.S. criminal charges linked to the 2022 collapse of the Terra crypto ecosystem. After being extradited from Montenegro, Kwon faces accusations of securities fraud, wire fraud, commodities fraud, and conspiracy to commit money laundering. He has been detained without bail. The Terra project, which included the LUNA token and the algorithmic stablecoin UST, once held a significant place in the crypto market but crashed in May 2022, wiping out approximately $40 billion in investor funds. Allegations suggest that Kwon misled investors about the operational integrity of Terra's products. Authorities claim that behind-the-scenes manipulations created a false perception of a functioning decentralized financial system. Kwon was apprehended in Montenegro last year for attempting to travel on a fake passport and was ultimately extradited to the U.S.

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