Cryptocurrency king accused of defrauding $40 billion arrested in Montenegro

Cryptocurrency king accused of defrauding $40 billion arrested in Montenegro

Do Kwonfounder of Terraform Labs, wanted and accused of having defrauded US$40 billionwas arrested today in Montenegro, Interior Minister Filip Adzic confirmed.

The minister noted on the social network Twitter that he is suspected to be the South Korean fugitive who was arrested in the Podgorica airport with false documents, and that his identity is awaiting confirmation.

“Police in Montenegro have arrested the person suspected to be one of the most wanted fugitives.South Korean national Do Kwon, co-founder and CEO of Singapore-based Terraform Labs,” the minister said.

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Adzic, who referred to the detainee as. the former “cryptocurrency king.”recalled on this social network that Do “is behind the loss of more than 40 billion dollars.”. “We await official confirmation of the identity,” the minister noted.

The U.S. Securities and Exchange Commission last February charged Terraform Labs and its CEO, Do Kwon, with. the flash crash of its TerraUSD and Luna cryptocurrencies in May 2022.

The SEC alleges that Singapore-based Terraform and its principal executive and shareholder, Kwon, orchestrated a multibillion-dollar fraud that partially took place in the U.S. from 2018 through 2022, when TerraUSD collapsed. South Korean prosecutors have obtained a warrant for the arrest of the chief executive officer, who is also wanted by the Singapore judiciary.

Kayleigh Williams