Yesterday, the man behind the Terra (LUNA) fiasco, Do Kwon, was arrested in Eastern European Montenegro after a protracted manhunt. A few hours later, the infamous founder was sued from the United States. He faces charges of multiple forms of fraud. Do Kwon is currently still in Montenegro, but it is expected that the South Korean will be handed over to the US authorities.
Crypto founder Do Kwon is indicted in US, following Montenegro judgment https://t.co/Q4jbWa60qe pic.twitter.com/gHy56CPFyu
— Reuters (@Reuters) March 24, 2023
The Terra and Do Kwon saga
Thursday around two o’clock Dutch time became known that Do Kwon had been arrested at the airport of the capital of Montenegro, Podgorica. He had tried to leave the country with false documents.
“Montenegrin police have detained a person suspected of being one of the most wanted fugitives, South Korean Do Kwon, co-founder and CEO of Singapore-based Terraform Labs.”
In early February, Do Kwon was thought to be hiding in Serbia. Two officials from the South Korean authorities then traveled to the country to track down Do Kwon.
Whether Do Kwon was actually in Serbia and then crossed the border to Montenegro is still unclear. It is also a possibility that he was hiding in Montenegro all this time. It is also unclear why Do Kwon tried to leave the country with false papers. We may get answers to that soon.
Manhunt for LUNA founder is over
Almost a year ago, the LUNA coin collapsed after the terrausd (USDT), the algorithmic stablecoin, collapsed. Finally the manhunt for the man behind the Terra project is over. In addition to official charges in the United States, several official charges have been filed against Do Kwon in his home country of South Korea as well as in Singapore.
Do Kwon is responsible for the crash of the Terra ecosystem. In the crash, no less than 60 billion dollars was lost in one fell swoop. The incident was a major catalyst for last year’s crash. Almost all prices on the crypto market took a hard dive.