Montenegro extradited Terraform Labs Co-Founder Do Kwon to
the US as we speak (Tuesday), in accordance with the nation’s inside
ministry.
Kwon, a South Korean nationwide, was the CEO of Terraform
Labs, the corporate behind TerraUSD, a stablecoin that collapsed in Might 2022.
This collapse triggered main volatility in cryptocurrency markets.
Extradition to US Permitted After Authorized Proceedings
After 18 months of authorized proceedings, Montenegro authorized
Kwon’s extradition to face fraud expenses within the US. Kwon was on the middle of
the cryptocurrency catastrophe that noticed the lack of practically $40 billion in a matter
of days, with the collapse of the TerraUSD and Luna tokens.
Montenegro’s Minister of Justice, Bojan Božović, signed the
extradition order following a evaluation by the nation’s Supreme Court docket. Whereas
South Korea additionally sought Kwon’s extradition, the US request took precedence attributable to
the severity of the fees. Montenegro has no direct extradition treaty with
both nation, complicating the choice course of.
Montenegro says it extradites Terraform Lab co-founder Do Kwon to US https://t.co/tLDcq6sK0r
— The Straits Instances (@straits_times) December 31, 2024
Extradition Results in US Fraud Fees
Kwon has encountered authorized points globally. In February
2023, US regulators charged him with fraud, accusing him of misrepresenting
TerraUSD’s stability. His companion, Han Cheng Jun, was extradited to South Korea
earlier this yr.
In Montenegro, Kwon
served a four-month sentence for doc forgery. After his launch, he
was detained once more whereas authorities selected his extradition, as reported by
Finance Magnates.
Court docket Rejecting US Request
In August, a Montenegro
appeals court docket dominated that Do Kwon could be extradited to South Korea,
rejecting the US’ request. Nonetheless, the timeline for his switch to
South Korea remained unclear. This determination adopted months of authorized battles
between South Korea and the US over Kwon’s extradition. The appeals court docket’s
newest ruling upheld the sooner determination of a decrease court docket. In the end, Kwon
has now been extradited to the US.
This text was written by Tareq Sikder at www.financemagnates.com.
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