Terra’s founder Do Kwon took to Twitter to address some of the issues after reports began to circulate that he was on the run evading arrest from authorities. He then criticized the cryptocurrency industry, claiming that they have “no business” knowing where he is.
I am not “on the run” or anything similar – for any government agency that has shown interest to communicate, we are in full cooperation and we don’t have anything to hide.
Reuters recently reported that the beleaguered founder of the Terra blockchain was no longer in Singapore.
Denying that he fled, the co-founder stated that his team is in the process of defending itself in multiple jurisdictions. “We have held ourselves to an extremely high bar of integrity, and look forward to clarifying the truth over the next few months.”
A South Korean court issued an arrest order for Kwon and a few other people earlier this week.
It is worth noting that South Korea doesn’t hold an extradition treaty with Singapore and, according to Bloomberg, Singapore police are willing to assist their South Korean counterparts.
The speculative rally for Terra tokens was temporarily halted by the news. According to allegations, the co-founder of the Terra project, which collapsed back in May, broke capital market regulations.
Do Kwon, the co-founder, and CEO of Terraform Labs is accused by South Korean prosecutors of defrauding investors by issuing LUNA and USTC without warning them of the risk that the price of both could fall at the same time.
Terra Troubled Founder May Lose His Passport
A few days ago, local media claimed that Kwon’s passport cancellation process had been initiated by South Korean officials. The founder of Terra would thereafter be considered an “illegal alien.”
Kwon maintains his defiance despite rising legal issues.
The founder also faced a sea of wrath over Terra‘s blowout with some asking for his immediate arrest after the fiasco. Even international hacker group Anonymous vowed to “make sure” Do Kwon is “brought to justice as soon as feasible,” back in June.
The self-proclaimed hacktivist released a video that showed a list of Kwon’s alleged wrongdoings. These include his purported $80 million monthly withdrawals from UST and LUNA before the crash and his role in the demise of the stablecoin Basis Cash, which the terra founder is alleged to have created in late 2020 under the alias “Rick Sanchez.”