Montenegro Court Approves Extradition of Crypto Fugitive Do Kwon

Seoul, South Korea – A court in Montenegro has approved the extradition of Do Kwon, co-founder of the cryptocurrency firm Terraform Labs, to either South Korea or the United States. Kwon, 32, is implicated in a significant cryptocurrency crash involving his firm's digital currencies.

According to Yonhap News Agency, The Basic Court in Podgorica announced on its website on Friday that Kwon's extradition decision will ultimately be made by the Montenegrin justice minister. This decision will follow after Kwon completes a four-month prison sentence in Montenegro for document forgery. Kwon was arrested in Podgorica in March, after months on the run with forged passports.

Kwon fled South Korea while under investigation for the crash of Terraform Labs' TerraUSD and Luna coins in May of the previous year. This crash is estimated to have erased nearly 50 trillion won (approximately US$38 billion) in market value. South Korean prosecutors issued an arrest warrant for Kwon on charges that include providing false information to investors and violating capital market law.

Interpol also issued a red notice for Kwon, indicating he is among the highest level of wanted suspects and criminals. His passport has been invalidated since. Additionally, Kwon faces fraud charges in the United States.

TerraUSD, designed as a stablecoin pegged to stable assets like the U.S. dollar, plummeted far below its $1 peg, leading to substantial losses for holders of TerraUSD and Luna.

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