News Karnataka
Thursday, March 28 2024
Cricket
Technology

Interpol issues red notice for Do Kwon of crypto firm Terraform

Interpol issues red notice for Do Kwon of crypto firm Terraform
Photo Credit : IANS

Seoul: Do Kwon, founder and CEO of Terraform Labs that wiped out investors’ money worth $40 billion, is now wanted by Interpol which has issued a red notice for him.

South Korean prosecutors have requested Interpol’s assistance to trace the whereabouts of Kwon, the wanted founder of Terraform Labs accused of fraud following the massive collapse of the firm’s cryptocurrencies earlier this year.

The request came after Singapore’s police said that Kwon was not in the city state, where prosecutors had believed he was residing, reports Yonhap news agency.

The blockchain firm has been under investigation for alleged fraud and tax evasion after investors in its cryptocurrencies — TerraUSD and Luna — filed complaints against Kwon in May, accusing him of carrying out a Ponzi scheme over the loss of billions of won following the crash of both coins earlier that month.

The Seoul Southern District Prosecutors Office recently had court arrest warrants issued for Kwon and five others — including Terraform founding member Nicholas Platias — in efforts to repatriate them and place them under custody.

Prosecutors have also requested the foreign ministry to invalidate the passports for the five South Korean nationals under investigation.

The shocking implosion of the TerraUSD and Luna cryptocurrencies threw many young investors into a panic, some of them saying their entire assets were blown up or even leaving suicidal messages.

In a crash starting in May, the once bullish TerraUSD and sister coin Luna had lost almost all their value, sending shock waves across the world.

TerraUSD, also known as “stablecoin,” and its digital coin counterpart, Luna, traded in the 10 cent-range and nearly at zero, respectively, registering more than 99.99 percent falls from their highs and wiping out nearly $40 billion of investors’ money in a week.

South Korea’s financial authorities said about 280,000 investors were believed to be holding about 70 billion Luna coins as of late.

 

Share this:
MANY DROPS MAKE AN OCEAN
Support NewsKarnataka's quality independent journalism with a small contribution.

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

To get the latest news on WhatsApp