The day after his arrest in Montenegro, he was formally charged. The South Korean founder of the Terra cryptocurrency, Do Kwon, and his financial director, are worried by justice for falsification of documents. “A complaint has been filed against the two people for the crime of falsification of documents,” said the Montenegrin police.
A spectacular collapse
Do Kwon is the founder of Terraform Labs, parent company of the “stable cryptocurrency” Terra which collapsed in May 2022. He is accused of fraud in this crash which lost around 40 billion dollars (37 billion euros ) to investors. Shortly after his arrest, a United States federal jury brought eight counts against Do Kwon, including stock fraud and online fraud.
In South Korea, where prosecutors announced on Friday that Seoul would seek his extradition, Mr. Kwon is also wanted for violations of financial market rules. He is suspected of having fled the country for Singapore at the time of the crash in May 2022.