In a recent development, Do Kwon, the Co-founder and CEO of Terraform Labs, has allegedly liquidated $2.8 million worth of cryptocurrency before being released on bail in Montenegro. The move comes amidst a legal battle faced by Kwon and his fellow Terraform executive, Han Chong-joon. This article delves into the details surrounding the cash-out, the charges faced by Kwon and Han, their bail release, and the ongoing efforts to bring Kwon to justice.
Key Points:
- Multiple sources, including TVChosun and South Korea’s Economist, have reported that approximately $500,000 worth of Tether (USDT) was withdrawn from a wallet believed to be owned by Kwon.
- Additionally, 2.39 million Terra Luna Classic (LUNC) coins were allegedly withdrawn from a wallet linked to Kwon.
- Kwon and Han have been charged with possession of fake travel documents and attempting to travel with counterfeit papers, leading to their arrest at Podgorica airport in March.
- The duo’s legal team applied for bail, and they were released after posting a sum of around $436,000.
- Kwon and Han claimed to have property in South Korea, and their wives agreed to cover their bail fees.
- The court requested more time to examine the travel documents, and the executives were released on conditional bail.
- Kwon and Han are currently required to stay in their apartment and attend court hearings as instructed.
- South Korean prosecutors consider all of Kwon’s funds to be proceeds of crime, but they have been unable to freeze all of his crypto assets due to some being held in anonymous wallets.
- Seoul aims to convince Montenegrin officials to extradite Kwon to South Korea to face fraud charges.
- The United States and Singapore are also seeking Kwon’s extradition to face legal proceedings related to the alleged sale of unregistered securities.
