• Do Kwon – the disgraced crypto executive behind the Luna token and Terra USD – has pleaded not guilty to fraud and other crimes after he was arrested in Montenegro.
• Kwon had been a fugitive for some time before his arrest, with charges of fraud from organizations such as the Securities and Exchange Commission (SEC).
• His company, Terra USD, had been an algorithmic stable currency that had no real collateral backing it up, leading to investors losing billions when it fell to zero.
Do Kwon Pleads Not Guilty Following Arrest
Do Kwon – the disgraced crypto executive behind the Luna token and Terra USD – has pleaded not guilty to fraud and other crimes after he was arrested in the European nation of Montenegro last month while holding three phony passports. Kwon had been a fugitive for some time before his arrest, with charges of fraud from organizations such as the Securities and Exchange Commission (SEC) and a warrant from his home country South Korea.
Terra USD Collapse
Prior to its collapse, Terra USD had been an algorithmic stable currency that had no real collateral backing it up, leading to investors losing billions when it fell to zero overnight. This caused shockwaves throughout the cryptocurrency world.
Kwon’s Social Media Activity
After the warrant was issued against him, Kwon remained active on social media for a while claiming that he was willing to cooperate with police authorities in any way possible. However this activity didn’t last long as he soon shut down his accounts and began traveling across Europe looking for places to hide himself from those who would seek his imprisonment.
Arrest In Montenegro
Kwon’s efforts were ultimately futile as he was caught in Montenegro while holding fake passports from several countries. At the time of detainment by authorities in Montenegro they released a statement saying: „Montenegrin police have detained a person suspected of being one of the world’s most wanted fugitives, South Korean citizen Do Kwon.“
Conclusion
Do Kown now awaits extradition back into his native South Korea where he will face criminal charges related to securities fraud amongst other things related to his failed business venture with Terra USD which saw many investors lose millions due to its collapse.
