Many individuals misplaced cash when stablecoins LUNA and UST fell and traded near zero, after which Terraform Labs and Kwon had been blamed for the incident that swept billions from the market. Very quickly, the matter turned a trending subject and it acquired quite a lot of consideration in South Korea.
In response to a report from the Korean native media outlet News1 on October 5, South Korean prosecutors have frozen 56.2 billion gained ($39.66 million) in digital property, together with Bitcoin (BTC), managed by Do Kwon by way of two cryptocurrency exchanges.
Kwon reacted to the stories on Twitter by stating that he doesn’t maintain his funds on the talked about cryptocurrency exchanges, that he doesn’t have the time to commerce in cryptocurrency, and that the funds that had been seized didn’t belong to him.
Kwon stated that all the stories relating to this matter are unfaithful. He referred to as the accusations “spreading falsehood” and asserting that he doesn’t “even make the most of Kucoin and OkEx, and no funds have been frozen.”
I do not get the motivation behind spreading this falsehood – muscle flexing? However to what finish?
As soon as once more, I do not even use Kucoin and OkEx, haven’t any time to commerce, no funds have been frozen.
I do not know whose funds they’ve frozen, however good for them, hope they use it for good 🙏 https://t.co/gSucKfqsxj
— Do Kwon 🌕 (@stablekwon) October 5, 2022
These property had been added to the 38.8 billion gained that Do Kwon is claimed to have tried to hide and had been frozen on September 27 by the Joint Monetary Securities Crime Investigation Group of the Seoul District Prosecutors, led by Director Seong Dan.
Is Kwon Hiding From the Regulation?
The Supreme Prosecutors Workplace’s Monetary Crimes Unit claimed that Kwon and 5 different folks had been all in Singapore on the time a court docket within the South Korean capital issued an arrest order for them on September 14 because of violations of the nation’s Capital Markets Act.
Do Kwon initially stated he was not hiding from the regulation after the arrest warrant was issued, however he later reiterated this declare on Twitter after prosecutors claimed in a different way and even urged Interpol to turn out to be concerned.
A South Korean court docket issued an arrest warrant for the Terra founder on September 15 after accusing him of violating inventory market guidelines.