• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • About us
  • Write for us
  • Terms and Conditions
  • Privacy Policy
  • Disclaimer
  • Contact
  • All Posts
  • Advertise

TronWeekly

Crypto World News

  • Home
  • Education
    • Best TRON Wallets
    • Beginner’s guide to TRON
  • Opinion
    • Tron Tokens
    • Market Analysis
  • Industry
    • Tron Exchange
    • Project Review
  • Press Release
  • Advertise
  • About us
    • The Team
    • Editorial Policy
    • Write for us
    • Privacy Policy
    • Disclaimer
    • Terms and Conditions
    • Contact
You are here: Home / News / Terra Founder In A Tiff: $57M Lawsuit In Singapore
Terra

Terra Founder In A Tiff: $57M Lawsuit In Singapore

October 29, 2022 by Aishwarya shashikumar

Do Kwon, the founder of Terra, has been wanted to be arrested by regulators all around the world. A number of lawsuits have been brought against the executive, reportedly holding him responsible for the destruction of the Terra ecosystem’s two cryptos, UST and LUNA.

Along with the Luna Foundation Guard (LFG) and Terra founding member Nicholas Platias, Do Kwon, the co-founder of Terraform Labs who may be subject to legal action in South Korea and the United States, is the subject of a lawsuit in Singapore.

On September 23, 359 people filed a case in Singapore’s high court alleging that Kwon, Platias, the LFG, and Terra made false statements, claiming that the token’s stablecoin, UST — renamed TerraUSD Classic (USTC) — was not “stable by design” and could not keep its peg to the US dollar.

Based on the value of the UST tokens they bought, held, or sold during the market slump in May, the claimants are asking for compensation for a total of about $57 million in “loss and injury.” Additionally, they want for an order to pay “aggravated damages.”

The four persons connected to the token “knew or ought to have known that the Claimants sought to buy and hold digital stablecoins that were not susceptible to the volatility of the wider market and produce a respectable passive return,” the people bringing the case claim. Based in part on his involvement in the demise of Basis Cash, the court document specifically claims that Kwon was aware of “the structural fragility of algorithmic stablecoins.”

The lawsuit said,

“The Defendants made the said representations fraudulently either well knowing that they were false and untrue, or recklessly not caring whether they were true or false.”

Terra Founder Still Active On Social Media?

Since the Terra blockchain ecosystem collapsed in May, Kwon has been the victim of many legal actions and threats. In September, South Korean officials issued a rescinded arrest order for the Terra co-founder. Interpol then added Kwon to its Red Notice list, urging that law enforcement identify and perhaps jail him.

Despite not disclosing his location, Kwon has been active on social media throughout the scandal and declared in September that he was “making zero attempt to conceal.” In reaction to the lawsuit, one Redditor complained that Kwon was “doing a bad job at acting innocent for a guy who is innocent.” Others made outrageously speculative claims that he had plastic surgery to make himself look different.

Idk, its pretty good whiskey

— Do Kwon 🌕 (@stablekwon) October 24, 2022

Kwon’s address was listed in Singapore in the lawsuit filed on September 23, however some reports claim that he may have left the country. The co-founder of Terra was given an order by South Korea’s foreign ministry (Kwon is a Korean national) on October 6 to turn up his passport or risk having it revoked.

Filed Under: News, Altcoin News, World Tagged With: Do kwon, Lawsuit, singapore, terra

Primary Sidebar

Recent Posts

  • Level Up Your Avatar: Nike NFTs Enter the World of EA Sports! June 2, 2023
  • Coinhub Bitcoin ATMs: Empowering America’s Crypto Enthusiasts, While Others Face Setbacks June 2, 2023
  • Pro Tips to Keep You on the Winning Streak When Playing Casino Games June 2, 2023
  • Unstoppable Momentum: DigiToads Rises to New Heights, Despite Ethereum’s Reduced Trading Volume June 2, 2023
  • Ethereum’s Gas Fees And Supply On Exchanges Hit Historic Low June 2, 2023

Footer

News

  • Altcoin News
  • Bitcoin News
  • Blockchain
  • Tron News
  • World

Digest

  • Meet the Founder
  • Price Winning Article
  • DeFi
  • Cyber Security
  • Crypto Scam

Industry

  • Project Review
  • Technology
  • Fintech
  • Tron Exchange
  • New in Town

Tron Universe

  • Event and Tron Parties
  • New in Town
  • Tron Tokens

Follow Us

Subscribe US

Copyright © 2023 · Tron Weekly. All Rights Reserved. NOTE: Tron Weekly is an independent crypto news site that adheres to the strict journalism policy anchored on transparency, trust, and objectivity, we have no affiliation with the TRON Foundation, its founder Justin Sun or any other cryptocurrency firm.