South Korean authorities froze Do Kwon's assets, like luxurious apartment complex, cars, and bank accounts.
Do Kwon, the ex-CEO of Terraform Labs, has $176 million in assets locked up amid criminal investigations, and that is just the tip of the iceberg.
According to the South Korean news portal Hankyung, the Seoul Southern District Court's Chief Judge Yun Chan-Young put the brakes on Do Kwon's asset sale, including his expensive Galleria Foret apartment, a cutting-edge officetel, and a fleet of imported cars.
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However, that is not all. The judge has also halted the movement of Kwon's financial resources like securities, bank deposits, and cryptocurrency accounts.
Under South Korean law, suspects can't touch the profits or belongings from a crime until they're proven guilty.
It is worth noting that Kwon was arrested in Montenegro on March 23rd and has since been accused of document forgery in the country. However, authorities in Montenegro aren’t the only ones going after the “cryptocurrency king."
Do Kwon was also incriminated by both South Korean and US officials, with both jurisdictions working on getting him extradited.
South Korean authorities claim that Kwon illegally converted funds from Luna to Bitcoin (BTC) and have traced around $314.2 million in unlawful assets. On top of that, US prosecutors have slapped Kwon with eight fraud charges connected to his promotion of the Terra Luna blockchain.
Last year, in May 2022, Kwon's Terra Luna dual-token system, developed by him and Terraform Labs, fell apart. Its native TerraUSD stablecoin lost its peg, and an eye-watering $40 billion vanished from the market almost overnight.
Do Kwon is not the only one receiving consequences for his involvement in the collapse of the Terra ecosystem. Terraform Labs co-founder and nine other individuals were indicted in South Korea.
The saga surrounding Do Kwon's frozen assets paints a cautionary tale of the complexities and risks within the world of blockchain and cryptocurrencies.
