The founder of the crypto ecosystem Terra, who fled after its collapse, will be extradited to South Korea. The date of his extradition has not been specified.
The founder of the Terra cryptocurrency, Do Kwon, claimed by Seoul and Washington for his role in the collapse of his company Terraform, will be extradited to South Korea, the Montenegro Court of Appeal definitively ruled on Wednesday.
The judges “rejected the appeal of Do Kwon’s lawyers and upheld the decision of the Podgorica High Court” to extradite him to South Korea, according to a press release. The court also rejected the extradition request to the United States, explaining that “the request from the Republic of South Korea came earlier than the request from the United States.”
The date of his extradition has not been specified.
40 billion dollars evaporated
Both countries claim him for his role in the collapse of his company Terraform in 2022, which caused investors to lose about $40 billion.
Kwon Do-hyung, his real name, was arrested in March 2023 in Montenegro after months on the run.
He was sentenced in June by a Montenegrin court to four months in prison for falsifying documents because, at the time of his arrest at Podgorica airport, he was in possession of a false passport.
A stablecoin… without any reserves
Terra was presented as a stable cryptocurrency, therefore supposed to be less volatile than a classic cryptocurrency such as bitcoin, the price of which fluctuates according to supply and demand. But, unlike larger stablecoins, its stability was guaranteed by an algorithm rather than its own reserves of currencies or other tangible assets.
In early February, Do Kwon’s business partner, identified only by his initials JCH, was extradited from Montenegro to South Korea.
Source: https://www.bfmtv.com/crypto/le-montenegro-confirme-finalement-l-extradition-de-do-kwon-le-fondateur-de-terra_AD-202403200818.html
