Kwon and five other people, who are now in Singapore, are the subjects of an arrest warrant issued by a court in Seoul, South Korea.
The Terraform Labs founder, Do Kwon, is now under arrest threat from South Korean authorities, despite the joy of the LUNC community over a prospective return for the Terra Luna Classic (LUNC) token.
According to reports, a court in Seoul issued an arrest warrant for Kwon and five additional individuals, who are all presently residing in Singapore. The founder of Terra is accused of breaking South Korea’s capital markets law, according to the prosecutor’s office there.
A FUD attack that the Terra community initially thought was a market crash in May turned out to be one of the worst in cryptocurrency history, costing investors in TerraUSD (UST), now known as TerraUSD Classic (USTC), and Terra (LUNA), now known as Luna Classic, millions of dollars (LUNC). The UST stablecoin started to slip away from its United States dollar peg, plunging to an all-time low of $0.006 in June.
Aside from UST, LUNA experienced a sharp decline to a record low of $0.0000009, forcing suicide hotlines to be pinned on the project’s Reddit community. LUNA once achieved its peak at $119.18 in April.
Kwon engaged legal counsel from a South Korean law company on August 17, just a few days after claiming that the authorities had not yet contacted him. The department in charge of looking into the Terra collapse reportedly received a letter of appointment from the founder of Terra.
On August 16, the founder of Terra also ended his silence in an effort to defend himself against various charges. Community members nonetheless condemned the Terra CEO despite Kwon’s efforts, drawing comparisons between his predicament and that of Tornado Cash’s developer, who was detained for designing a privacy code.
