Terraform Labs co-founder Do Kwon is reportedly considering a guilty plea in a U.S. fraud case related to the 2022 collapse of TerraUSD, which resulted in a $40 billion loss. A change-of-plea hearing is scheduled for Tuesday, according to Bloomberg. The case centers on allegations of fraud following the dramatic failure of TerraUSD, a stablecoin that was part of the Terra blockchain ecosystem. The collapse had significant repercussions in the cryptocurrency market, leading to increased scrutiny and regulatory actions.