Do Kwon escapes extradition limbo — enters US trial limbo

The beginning of Do Kwon’s discovery process is the latest step in the complicated and drawn-out legal journey that has been ongoing since the $40 billion collapse of Terra/Luna in 2022.

Kwon was finally extradited from Montenegro to the US on December 31 and he kicked off the US leg of his ongoing legal saga by pleading not guilty to nine federal fraud charges, including money laundering conspiracy and securities fraud.

There is also an “initial conference” with Judge John P. Cronan scheduled for January 8 during which the prosecution and defense will gather evidence and discuss whether or not the case can be settled via settlement.

It’s expected that, at this point, legal parties will discourage any wasteful pretrial activities and ensure that they’re prepared for the discovery process and any potential trial.

Read more: Montenegro’s PM likely lied about Do Kwon meeting after Luna buy

The discovery process can last for months as legal representatives gather evidence to present and examine the evidence submitted by opposing legal teams.

For context, former FTX supremo Sam Bankman Fried’s initial conference took place on January 3, 2023, and a trial date was scheduled for October 2 — almost 10 months later.

Given the complexity of the Terra/Luna collapse, it’s fair to say Kwon could well be in for a similar wait. The charges he is facing carry a maximum sentence of 130 years in prison.

Do Kwon recap

Kwon’s Montenegrin lawyers have previously submitted six appeals. This time, they claim his removal to the US has breached European extradition laws.

It took Montenegro’s legal system just over a year to finally extradite Kwon after a high court approved his extradition in November 2023. This ruling was the first of many that would be overruled or reversed.

Indeed, Prime Minister Milojko Spajić said he hopes the extradition puts an end to “pre-election manipulations.”

Read more: CHART: Do Kwon’s extradition has seen a total of 23 developments

Former Prime Minister Dritan Abazović had previously accused Spajić of meeting Kwon to purchase Terra/Luna tokens.