Du Koven was arrested in Montenegro after the $40 billion collapse of stablecoin Terra
In the indictment related to the case Kwon It is alleged that he deceived investors and customers with false and misleading statements about Terra’s technology and products.
According to Bloomberg, federal prosecutors have announced Kwon He will be returned to the United States to face the charges against him. Kwon He has also been wanted in South Korea since September last year.
The Securities and Exchange Commission last month filed its civil complaints against Terraform Labs and Kwon had raised and the executive director of this company to organize a multi-billion dollar fraud in the securities of crypto-assets, including Algorithmic Stablecoin and other securities related to crypto-assets were charged.
Kwonthe stablecoin TerraUSD, whose value has always been 1-to-1 with the US dollar, had been introduced as a stable alternative to volatile cryptocurrencies, but the value of this cryptocurrency, as well as the Luna token, suffered a sharp decline in May of last year, and billions of dollars in assets were lost. It blew the investors away.
After the $40 billion collapse of the Terra Foundation, the entire cryptocurrency market also suffered a significant decline, and the market value of the TerraUSD stablecoin and the Luna token completely disappeared a few days after the incident.
Capture Kwon It comes as U.S. authorities seek to crack down on crypto fraudsters after several major incidents that have damaged public investments.