South Korean prosecutors indicated that crypto fugitive Do Kwon may be in Europe and that they are examining alleged evidence of price manipulation of the tokens he created.
(Bloomberg) — South Korean prosecutors indicated that crypto fugitive Do Kwon may be in Europe and that they are examining alleged evidence of price manipulation of the tokens he created.
The prosecutors’ office said Friday that local reports that officials have obtained chat histories pointing to price manipulation are “not false.” The office used the same phrasing when asked about the veracity of domestic articles placing Kwon somewhere in Europe.
Kwon’s Terraform Labs Pte created the TerraUSD stablecoin and sister token Luna. TerraUSD was meant to have a constant $1 value via a complex mix of algorithms and trader incentives involving Luna. The edifice suffered a $60 billion wipeout when confidence in the ecosystem evaporated in May, exacerbating this year’s rout in digital assets.
Read more: How Onetime Crypto Titan Do Kwon Became a Fugitive: QuickTake
Kwon’s location became unclear after prosecutors in Seoul sought his arrest on charges including breaches of capital-markets law. South Korea has said he’s the subject of an Interpol red notice.
Neither Kwon nor Terraform Labs immediately responded to a request for comment.
Kwon has previously denied wrongdoing or being on the run. On Twitter he poked fun at the saga surrounding him, trolling the “cops” and posting a picture of a gun with the words “pew pew.”
–With assistance from Joanna Ossinger.
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