Why was former Hodlnaut CEO Zhu Juntao charged in Singapore?

Zhu Juntao was charged over allegedly misleading statements linked to the 2022 collapse of TerraUSD. Prosecutors said he falsely claimed Hodlnaut did not suffer losses from the UST crash despite the company’s exposure.

What did prosecutors say Zhu Juntao allegedly lied about?

Singapore authorities alleged Zhu publicly claimed Hodlnaut had “no price exposure” to UST and did not incur company losses from the Terra ecosystem collapse. Prosecutors also said he directed employees to repeat similar statements through Telegram and email communications.

How many charges does former Hodlnaut CEO Zhu Juntao face?

Zhu faces six charges of fraud by false representation in Singapore. If convicted, he could face up to 20 years in prison, fines, or both under Singapore law.

What happened to Hodlnaut after the TerraUSD collapse?

Hodlnaut halted withdrawals in August 2022 after suffering financial difficulties during the broader crypto market downturn. The platform later became defunct as the collapse of TerraUSD and Luna triggered severe stress across the crypto lending sector.

Why is the TerraUSD collapse still causing legal problems in crypto?

The TerraUSD collapse destroyed billions of dollars in market value and triggered insolvencies across multiple crypto firms. Regulators and prosecutors globally are still investigating whether companies misrepresented their exposure or failed to properly disclose risks to users.

Did Zhu Juntao plead guilty to the charges?

No. Zhu disputed all six charges during his court appearance and indicated he was not guilty. A pre-trial conference has been scheduled for June.

Why do prosecutors consider the Hodlnaut statements misleading?

Authorities allege the statements falsely separated company losses from user losses even though Hodlnaut was financially exposed to UST-related risks. Prosecutors claim the messaging created a misleading picture of the company’s financial condition during the crisis.

How important was Hodlnaut in the crypto lending market?

Hodlnaut was a Singapore-based crypto lending platform that reportedly served more than 30,000 global users. The company allowed customers to deposit crypto assets in exchange for interest-bearing returns.

Image for illustrative purposes only. Not a real photo.

Former Hodlnaut CEO charged over UST statements

Written by Isaac FrancisPublished May 26, 2026, 5:45 AM

Zhu Juntao, the former chief executive of defunct crypto platform Hodlnaut, was charged in Singapore over allegedly misleading statements related to the collapse of TerraUSD in 2022.

Singapore prosecutors said Zhu posted or directed employees to post statements on platforms including Twitter and Telegram claiming Hodlnaut did not suffer losses from the TerraUSD crash despite the firm’s financial exposure.

Zhu allegedly wrote on Twitter in June 2022 that:

“Hodlnaut as a firm did not take any losses on UST and that the company had no price exposure to $UST or incurred any losses from the debacle.”

Authorities charged the 36-year-old Singaporean with six counts of fraud by false representation, including allegations that he instructed employees to circulate similar claims through Telegram messages and emails sent to users.

According to prosecutors, Zhu allegedly directed statements asserting that losses came only from user funds and not from the company itself, while also claiming Hodlnaut had no direct exposure to the Luna and UST ecosystem.

Zhu told the court he disputed all charges and indicated he was not guilty, with a pre-trial conference scheduled for June.

Hodlnaut halted withdrawals and later became defunct in August 2022 following financial difficulties linked to the broader crypto market turmoil triggered by the collapse of TerraUSD and the Luna ecosystem.