Singapore Probes Crypto Fugitive Do Kwon’s Terraform Labs

Singapore police have initiated an investigation into Terraform Labs, the company co-founded by Do Kwon, a crypto fugitive. The investigations are ongoing, but Kwon is not currently in Singapore.

Kwon and Terraform Labs were recently accused of fraud by the US Securities and Exchange Commission. Kwon is also facing charges in South Korea about the $60 billion wipeout of digital assets that he created. Kwon developed the TerraUSD stablecoin, which was meant to have a constant $1 value but experienced a catastrophic collapse in May 2022.

The US SEC alleges that Kwon and Terraform Labs transferred over 10,000 Bitcoin out of the project and turned some of the tokens into cash via a Swiss bank. Kwon’s whereabouts are unknown after South Korea issued a warrant for his arrest and he left Singapore, where Terraform Labs was based. South Korea has stated that Kwon is the subject of an Interpol red notice.

Terra LUNA and Terra UST are two cryptocurrencies created by Terraform Labs. The collapse led to the loss of $60 billion worth of digital assets, and the US Securities & Exchange Commission subsequently accused Terraform Labs and its co-founder, Do Kwon, of fraud. The collapse of Terra LUNA and Terra UST highlights the volatility and risks associated with the cryptocurrency market.

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