Do Kwon's Life: Fame, Wealth, and Sin

Do Kwon was once a star figure in the cryptocurrency industry, having founded the Terra ecosystem, which was valued at $40 billion. However, in just a few days, his empire collapsed, causing massive losses for investors. This article reviews Do Kwon's life trajectory, from a genius youth to a controversial crypto entrepreneur, exploring his successes and failures.

Starting Point: Young Talents

Do Kwon was born in 1991 and grew up in Seoul, South Korea. He exhibited extraordinary talent from a young age, particularly in language and learning. After graduating from high school, Do Kwon was admitted to Stanford University in the United States, where he studied computer science.

At Stanford, Do Kwon was exposed to the entrepreneurial atmosphere of Silicon Valley, which sparked his idea of changing the world through technology. After graduating from university in 2015, he briefly worked for a few months at Apple and Microsoft. However, Do Kwon soon decided to return to South Korea to start his own business and pursue his entrepreneurial dreams.

Entrepreneurship: A Small Trial with Great Skills

After returning to the country, 24-year-old Do Kwon founded Anyfi, a company that develops technologies related to mobile internet. This startup secured $1 million in funding and formed a partnership with South Korea's largest theme park, Everland.

During the operation of Anyfi, Do Kwon came into contact with blockchain technology and developed a strong interest in it. He began researching Bitcoin and Ethereum, thinking about how to apply blockchain in the payment sector.

Birth: A Game and a Business Partner

Do Kwon's entrepreneurial inspiration partly comes from his favorite game "StarCraft." He named his project Terra, after the human race Terran in the game.

Another key factor was meeting business partner Daniel Shin. Shin is a successful serial entrepreneur who previously founded the e-commerce company TMON, which has an annual revenue of $288 million.

Shin helped Do Kwon commercialize ideas and quickly advance the project using his connections and resources. The two complemented each other's strengths and became ideal entrepreneurial partners.

Glory and Warning: The Spiral Ascent of Destiny

The Terra project secured $32 million in funding in 2018, with participation from well-known exchanges such as Binance and OKEx. Since then, the Terra ecosystem has rapidly developed, becoming a rising star in the cryptocurrency industry.

In December 2021, Terra's native token LUNA first broke the $100 mark. The total locked value of the Terra blockchain once exceeded $17 billion, second only to Ethereum. Do Kwon was also named one of Forbes' 30 Under 30 elites, with an estimated net worth of over $1 billion.

However, Terra's success also made Do Kwon arrogant. He publicly mocked critics as "poor" and "cockroaches," ignoring warnings. This attitude sowed the seeds for the collapse that followed.

Crash: Night of the Eclipse

In May 2022, Terra suffered a fatal blow. Influenced by factors such as the Federal Reserve's interest rate hikes, some speculators began to short the UST stablecoin. Due to the decline in Bitcoin prices leading to insufficient reserves, Terra was unable to maintain the peg of UST to the US dollar.

Subsequently, UST quickly decoupled, triggering a severe bank run. Within 48 hours, UST devalued by 99%, and LUNA also nearly went to zero. The Terra ecosystem collapsed with a market value of $40 billion vanishing.

The crash caused huge losses for investors, with many losing their life savings. The crypto market was also severely impacted, with several institutions facing consecutive failures.

Trial: Crime, Escape

After the collapse of Terra, Do Kwon faced accusations and accountability from all sides. The South Korean prosecution issued an arrest warrant for him and requested Interpol to issue a red notice.

Do Kwon denies shorting Terra or profiting from it, insisting on his innocence. However, he has chosen to leave South Korea and is currently missing. Reports suggest that he has fled to Dubai and other locations.

The former crypto star has now become a prisoner, and Do Kwon's life trajectory is full of drama. His story warns us that while chasing fame and fortune, we must also remain humble and vigilant. Financial innovation is certainly important, but we cannot ignore risk management and ethical boundaries.