(Commonwealth Union)_According to reports, Kwon Do-hyeong (also known as Do Kwon), a co-founder of Terraform Labs, had approximately $40 million in cryptocurrency assets frozen by South Korean authorities.
Journalist Colin Wu tweeted on Wednesday, citing the Korean publication News1: Prosecutors in South Korea have frozen BTC and other cryptocurrency assets worth $39.66 million that Do Kwon owned through two exchanges. Do Kwon and LFG previously denied attempting to transfer their 3,313 BTC after an arrest order was issued.
The article noted that the cryptocurrency exchanges Kucoin and Okx had agreed to freeze Kwon’s cryptocurrencies at the prosecution’s request and that the coins were frozen there.
3,313 bitcoins linked to Kwon that were transferred to Kucoin and Okx through a wallet allegedly linked to Luna Foundation Guard were publicly frozen last month by South Korean authorities (LFG). Since May 2022, no new wallets have been opened or BTC or other tokens held by LFG have been moved, the business angrily denied the accusation.
Hearing the news, Kwon immediately took to Twitter to contest that the $39.66 million in cryptocurrencies that the prosecution had frozen belonged to him. The Luna designer tweeted on Tuesday: “I don’t understand the motivation for spreading this untruth; is it muscle flexing, but for what purpose? I won’t ever use Kucoin and Okex again, I don’t have time to trade, and no money has been frozen. I’m not sure whose money they’ve frozen, but I hope they make good use of it.”
On September 14, a South Korean court issued a warrant for Kwon’s arrest. Following the demise of the stablecoin terrausd and cryptocurrency luna (now known as luna classic (LUNC)), he is accused of fraud (UST). Additionally, he is the subject of a Red Notice from Interpol. On Interpol’s website, it is stated that “Red Notices are issued for fugitives wanted either for prosecution or to serve a sentence,” and that “Red Notices are issued for fugitives sought either for prosecution or to serve a sentence.”
The whereabouts of the Luna founder is presently unclear. He was thought to be in Singapore but the authorities there recently claimed that he is not there right now. Kwon recently tweeted that he is “making zero attempt to conceal,” maintaining his claim that he is not “on the run.”
