Ex-Terra Insider Challenges Legal Case Against Do Kwon in Explosive Thread

Former Terraform Labs developer Will Chen has sharply criticized the fraud case against Do Kwon, calling it 'backwards' in a Dec. 13 X thread. His critique comes days after Kwon was sentenced to 15 years in prison on Dec. 15. Chen, who openly opposed Kwon during Terra's operations, emphasized his argument is about legal mechanics, not personal defense. 'I wanted Do to fail. I wanted him punished,' Chen wrote. 'But the legal case is broken.'

Chen described Judge Engelmayer as 'sympathetic' and 'methodical,' but argued Kwon's guilty plea locked him into the government's narrative. 'Do taking the guilty plea means admitting to the government’s charges as is. There’s no debating afterward.' Chen found it 'incredibly ironic' that Kwon didn’t contest the case.

The crux of Chen’s rebuttal targets prosecutors' theory around Terra’s May 2021 depeg. They alleged Kwon falsely claimed the algorithm 'self-healed' while omitting Jump Trading’s intervention to stabilize UST. Chen contends this logic misrepresents causality: 'Fraud is when you claim your system has safety mechanisms it doesn’t.'