• Mon. Jun 24th, 2024

Interpol issues red notice for Terraform Labs’ co-founder, Do Kwon

Terraform Lab’s co-founder Do Kwon is now on Interpol’s list as the talks regarding the collapse of the LUNA and UST stablecoins continue.

Bloomberg reported a few hours ago that the South Korean government has revealed that Interpol requested law enforcement worldwide to locate and arrest Terraform Labs co-founder Do Kwon.

Do Kwon faces charges related to the $60 billion wipeout of cryptocurrencies he created, the report added. 

Prosecutors in Seoul said earlier today in a text message that Interpol had issued a Red Notice for Kwon. However, there have been no comments from Interpol, Do Kwon, and Terraform Labs so far. 

This latest development comes roughly two weeks after a South Korean court issued a warrant for Kwon’s arrest. A few days after the arrest warrant, Do Kwon claimed that he was not on the run, with the South Korean prosecutors asking Interpol to issue a red notice against Terraform Labs’ co-founder. 

Kwon’s location is currently unknown, with authorities in Singapore revealing a few weeks ago that was not n the city-state. 

Do Kwon and other Terraform Labs executives currently face allegations that they violated capital markets laws in South Korea.

Terra’s coins, LUNA and the UST stablecoins wiped out over $40 billion within a couple of days in what was one of the biggest declines in the cryptocurrency market’s history.

The crash of the Terra blockchain and its coins resulted in a widespread crash within the broader crypto market. Over the past year, cryptocurrencies have lost more than 60% of their value, with the total crypto market cap now below $1 trillion.

LUNA was one of the top 10 cryptocurrencies by market cap prior to its crash, while UST was gaining traction as one of the leading stablecoins in the market.

Terraform Labs has since rebranded its project, with the LUNC token and USTC stablecoin now its major tokens.

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