One of the most talked-about cases in the cryptocurrency world, the Do Kwon trial, now has an answer to when it will begin. In the first hearing held last month at the Southern District Court of New York, Judge Paul Engelmayer announced that the main trial would start on January 26, 2026. However, the Do Kwon court process has become much more complicated.

Founder of Terraform Labs, Do Kwon, appeared in court facing nine serious charges related to the collapse of the failed algorithmic stablecoin Terra. Declaring himself "innocent," Kwon could face up to 130 years in prison according to the court's decision. After this collapse, which wiped out approximately $40 billion in market value in 2022 and caused chain reactions of bankruptcies in the crypto world, prosecutors allege that Kwon deliberately made misleading statements.

The interesting part is the details regarding the strategy that prosecutors describe as a "Potemkin village." They say Kwon collaborated with an external company (allegedly Jump Crypto) to maintain Terra's stability but continued to give assurances to the public contrary to the system's vulnerability, despite knowing it was at risk. Such coordinated deception is among the charges that form the basis of the case.

The Do Kwon court process has been delayed due to various technical difficulties. Lawyers requested at least a one-year preparation period due to the complexity of the case, and the judge approved this request. The U.S. government explained that they are dealing with a vast digital archive, including six terabytes of evidence, four phones Kwon has in a prison in Montenegro, social media accounts, and encrypted data. Additionally, it was noted that some data may have been collected without permission and that crypto keys appear to be lost.

This case is being heard in the same court where high-profile figures from the crypto world, such as FTX founder Sam Bankman-Fried and Celsius's former CEO, are also being tried. Judge Engelmayer stated that such a lengthy preparation period is "unprecedented during the term of office." It is also expected that Kwon will face similar charges in South Korea. When the Do Kwon trial will be fully concluded remains uncertain, but the start of main hearings in early 2026 will be a significant milestone.