The authorized troubles of Do Kwon are removed from over. A US federal decide has postponed his court docket listening to, initially set for March 6, after prosecutors uncovered an enormous quantity of latest proof.
With 4 terabytes of further information now in play, the case towards the Terraform Labs co-founder is turning into much more complicated.
Huge Knowledge Dump Forces Delay
Prosecutors have handed over 600 gigabytes of knowledge to Kwon’s protection group to date. This consists of supplies from his telephones, emails, and different digital accounts. However now, with 4 terabytes of latest proof to look at, each side want extra time to organize.
The court docket has pushed the listening to date to April 10 to permit prosecutors to type by the information and the protection to overview what might be crucial data. The decide’s choice displays the dimensions of the information and its potential affect on the case.
Key Deadlines Earlier than Do Kwon Trial
This delay has not modified the date of the trial—January 26, 2026. Each side have till July 1 to submit pretrial motions; the deadline for reply is August 11. These filings most actually will have an effect on the arguments put up in court docket and through the trial.
After the prosecutors said in a letter dated February 27 that they anticipated to provide an additional 4 gigabytes of discovery to the protection by the tip of subsequent week, Decide Paul Engelmayer delayed a listening to scheduled for March 6 to April 10 in an order dated March 3.
Excerpt from Decide Paul Engelmayer’s March 3 order that adjourned the subsequent listening to to April 10. Supply: CourtListener
After January 2025 pleading not responsible to 9 felony fraud prices, Kwon enters a protracted authorized combat. Because the case develops, his protection group will work to refute the proof and assertions of the prosecution.
The Collapse Of Terra And Kwon’s Arrest
Terraform Labs, the corporate Kwon co-founded, collapsed in Might 2022. The failure of its algorithmic stablecoin, TerraClassicUSD (USTC), worn out $60 billion in market worth. The fallout led to widespread losses, investigations, and lawsuits.
BTCUSD buying and selling at $88,335 on the day by day chart: TradingView.com
After the collapse, Kwon moved between Singapore and Dubai earlier than being arrested in Montenegro in March 2023 for utilizing a pretend passport. He served a four-month sentence there earlier than being extradited to the US in December 2024.
What’s Subsequent For Do Kwon?
With the case rising extra sophisticated, Kwon’s future stays unsure. The addition of 4 terabytes of proof raises new questions in regards to the power of the prosecution’s case. If this materials incorporates damning data, it might be unhealthy information for Kwon.
For now, all eyes are on the upcoming listening to in April. The additional time might assist each side put together, but it surely additionally indicators that the authorized battle over Terraform Labs is way from completed.
Featured picture from Gemini Imagen, chart from TradingView