Montenegrin authorities have extradited Terraform Labs co-founder Do Kwon to the United States, where he faces charges of deceiving investors about the stability of two cryptocurrencies. The move comes after the country’s Supreme Court ruled that all necessary conditions for extradition had been met.
Kwon, a South Korean national, is also wanted by his home country, South Korea. He was arrested in March 2023 while attempting to leave Montenegro and denies any wrongdoing. Kwon was previously sued by the US Securities and Exchange Commission over the TerraUSD and Luna cryptocurrencies, which authorities say caused $40 billion in losses.
The two cryptocurrencies, including Terraform Labs’ TerraUSD stablecoin, were intended to be less volatile than other cryptocurrencies but collapsed in May 2022, causing widespread disruption in crypto markets. Kwon will now face charges related to his role in the collapse of these cryptocurrencies.
Source: https://www.reuters.com/world/montenegro-says-it-extradites-terraform-lab-co-founder-us-2024-12-31