Do Kwon and Terra have been the most talked-about subjects in the cryptocurrency sector since May. The sad failure of the billion-dollar company was one of the main incidents in the crypto industry.
Investors lost millions of dollars due to this catastrophic fall. On the market as a whole, the same had a variety of consequences.
It was recently revealed that the South Korean government had obtained a warrant for Do Kwon, suggesting their intention to put the Terra developer in prison.
There were rumors that Do Kwon was attempting to elude the authorities. He addressed these claims on Twitter and reaffirmed that he and his staff are completely compliant with the authorities. In one of the recent reports by Bloomberg, Do Kwon is likely to lose his passport.
South Korea to snatch Do Kwon’s passport
Do Kwon, the founder of Terraform Labs Pte, may soon lose his passport, increasing pressure on him to return to South Korea and face charges related to a $60 billion cryptocurrency crisis.
The passport will be withdrawn in around 14 days if the 31-year-old does not return it, claims a government notification published on Wednesday. Kwon is the subject of an Interpol red alert, and his whereabouts are unknown.
The TerraUSD stablecoin, which was created by Kwon, was intended to have a fixed $1 value in a convoluted relationship with sister currency Luna. The duo collapsed in May, aggravating a $2 trillion cryptocurrency crash, driving a number of digital asset corporations into insolvency, and alarming authorities across the world.
He and five other people are charged with breaking the capital markets legislation in South Korea. The allegations were disputed by Terraform Labs, who said that the matter had become “very political.”
Prosecutors in Seoul have reportedly frozen an additional 56.2 billion won ($40 million) in assets they say belong to Kwon, raising the total to roughly 95 billion won, according to the Chosun Ilbo newspaper.
“I don’t know whose funds they’ve frozen, but good for them, hope they use it for good,” Kwon said on Twitter. The year has proven to be extremely difficult for Do Kwon with the fall of his empire and the issues that followed.