It became known that Interpol, at the request of the South Korean prosecutor, has issued an arrest warrant for the founder of the cryptocurrency platform Terraform Labs, Do Kwon. This means law enforcement agencies around the world will take action to find and arrest Kwon. Kwon faces allegations of fraud and money theft following the collapse of the crypto platform, which claimed more than $42 billion from investors.
Last week, South Korean authorities issued an arrest warrant for Kwon, after which he wrote on his Twitter page that he was not on the run. However, prosecutors believe Kwon left the country to do so “avoid investigation”. The department noted that Kwon himself, his family members, and key Terraform Labs employees left the country, heading to Singapore around the same time.
Kwon and other Terraform Labs employees are under investigation for financial fraud and tax evasion following the collapse of the platform’s TerraUSD and Luna cryptocurrencies. Investors, many of whom lost their money after these assets collapsed, filed complaints with regulators. One of the victims of the collapse of the Terraform Labs platform was the largest cryptocurrency hedge fund Three Arrows Capital.