• Do Kwon, a crypto executive, was arrested in Montenegro after being a fugitive for several months.
• He was found to be holding phony passports and documents.
• Kwon is the main person of interest behind the collapse of Terra USD and its Luna token which cost investors billions of dollars.
Do Kwon Arrested
Crypto executive Do Kwon has been arrested and taken into custody in Montenegro. The former ‘cryptocurrency king’, who is behind losses of more than 40 billion dollars, was detained at the Podgorica airport with falsified documents. South Korea, the USA, and Singapore are now demanding his extradition.
Collapse of Terra USD
The collapse of Terra USD and its alternate Luna token cost crypto investors billions in hard-earned investment funds. In late 2022, South Korea issued an arrest warrant for Kwon citing him as the main person of interest behind the collapse given his status as CEO of Terraform Labs – the company responsible for creating both assets.
Kown Flees
Kown eventually went into hiding while claiming on Twitter that he was willing to cooperate with authorities and that he was not running from law enforcement officers. Furthermore, he stated he was simply coding in his living room; however this appears to be false as by February 1st 2023 he had gone silent on social media.
Montenegrin Authorities Act
According to Montenegro authorities, Kwon had allegedly been trying to travel to Dubai using a phony Costa Rican passport as well as holding a fake Belgian passport when they apprehended him at their airport. South Korean law enforcement agencies have already confirmed that the fingerprints match those of Kwon’s suggesting they now have their man.
Conclusion
Terra USD had been classified as a stable coin so it came as a shock when it lost its peg and then collapsed completely since it wasn’t tied to any serious collateral or fiat currencies; rather its value only stayed consistent when people chose to believe in it. With Do Kwon’s capture by Montenegrin police forces justice can move forward as investigations continue into one of world’s most wanted fugitives‘ alleged wrongdoings
