LIVE
TRACECHAIN™FORENSICS
FRAUD INTELLIGENCE · CASE FILES · GLOBAL SCOREBOARD
REPORT FRAUD Find your country and who to contact ▸🔍 Search cases, companies, countries, agencies
INTEL
PIG BUTCHERING: now the #1 loss category in the US by estimated volume / HUSHPUPPI: the Instagram that became the evidence -- Case 001 open / BEC: one spoofed email, one wire, seven figures -- see the methodology / ROSS ULBRICHT: full pardon January 21 2025 after 11+ years -- Case 013 open / ALL FIGURES LABELED: estimate vs conviction vs market collapse -- see Methodology / UNODC 2023: $5.4B estimated annually from SE Asia pig-butchering compounds [UNVERIFIED] / PIG BUTCHERING: now the #1 loss category in the US by estimated volume / HUSHPUPPI: the Instagram that became the evidence -- Case 001 open / BEC: one spoofed email, one wire, seven figures -- see the methodology / ROSS ULBRICHT: full pardon January 21 2025 after 11+ years -- Case 013 open / ALL FIGURES LABELED: estimate vs conviction vs market collapse -- see Methodology / UNODC 2023: $5.4B estimated annually from SE Asia pig-butchering compounds [UNVERIFIED]
◂ ALL COMPANIES◂ ALL CASES
COMPANY · COMPANY

Terraform Labs

🇸🇬 Singapore · FOUNDED 2018-01
THE FIGURE
~$40B
Market value of UST and LUNA wiped out in the May 2022 collapse; not money taken directly.
WHAT IT SAID IT WAS

Singapore blockchain company behind the Terra network, the TerraUSD (UST) algorithmic 'stablecoin' and its companion token LUNA.

WHAT IT REALLY WAS

Sold a stablecoin that claimed to hold its $1 peg by code; when the peg broke in May 2021 the company secretly had a trading firm buy the coin and told investors the algorithm had worked. It collapsed for good in May 2022.

THE STORY

Do Kwon and Daniel Shin founded Terraform Labs in Singapore in January 2018 and launched the Terra blockchain, whose UST stablecoin was meant to hold $1 by an algorithm that minted and burned LUNA. When UST slipped below $1 in May 2021, Kwon arranged for a trading firm to buy it back and said the code had done it. In May 2022 the peg broke again, UST and LUNA went to near zero and about $40 billion of value vanished in days. The SEC sued in February 2023; a jury found the company and Kwon liable in April 2024 and Terraform agreed to pay about $4.47 billion. It filed for Chapter 11 in January 2024 and is being wound down; Kwon was sentenced to 15 years in December 2025.

WHO RAN IT
Do Kwon ▸
co-founder and CEO · open the case file
Daniel Shin
co-founder — charged in South Korea over the Terra collapse (2023); case pending
WHO WAS HURT
holders of UST and LUNA worldwide
HOW IT ENDED
Founded
2018-01
Based
Singapore
Ended
2024-01-21
How
bankruptcy — Chapter 11 filed in Delaware 21 January 2024; SEC settlement and liquidating plan, winding down

Jury found Terraform and Kwon liable for fraud in the SEC's civil case (April 2024). Settlement approved June 2024: Terraform to pay ~$3.59B disgorgement plus interest and a $420M penalty (~$4.47B total; Kwon a further $204.3M). Company announced it would dissolve; its liquidating plan was confirmed in 2024 and the wind-down trust was still administering claims in 2026.

SOURCES
sec.gov/newsroom/press-releases/2024-73crypto.news/terraform-to-dissolve-following-4-47-billion-settlement-wi
Facts as published in court records, regulator releases and the sources above. Anyone charged and not convicted is alleged only.
🏠 HOME📁 CASES🚨 WANTED🎮 PLAY🌍 WORLD