Last Updated: August 2, 2023
• Montenegrin authorities have charged Do Kwon with multiple document forgeries.
• Do Kwon was detained in Podgorica Airport when he was trying to board a private jet to Dubai.
• It has been recently revealed that Do Kwon’s lawyer team received $7 million in funding right before the algorithmic stablecoin UST crashed, dramatically shredding to pieces the original Terra coin.
Do Kwon Facing Forgery Charges
Montenegrin police have filed charges against Do Kwon, co-founder of the TerraForm Labs blockchain network, of multiple document forgeries after his capture while attempting to board a private jet at Podgorica Airport. The requested extension of his prison stay could add an additional month in one of Montenegro’s notorious prisons.
Terra Network Plunges
The value of the Terra (LUNA) blockchain network continues to sink as both Terra Luna Classic (LUNC) and the relaunched version Terra (LUNA) have dropped by 10% over the last week. Additionally, its malfunctioning stablecoin Terra Classic USD (USTC) is trading at just 2 cents on the dollar.
Do Kwon’s Suspicious Funding
Korean prosecutors discovered that shortly before Terra collapsed, Do Kwon wired $7m to Kim & Chang, a large law firm in Korea known for defending high-profile criminals and corporations accused of illegal activities.
Both the United States and South Korea have requested extradition for Do Kwon but it remains unclear whether either jurisdiction will be successful considering Montenegro’s criminalization of document forgery offenses and other legal complications arising from extraditing suspects out of their jurisdiction.
Human Rights Violations
Human rights activists continue to call out Montenegro’s prison system due to its harsh conditions and overcrowding which increases risk during the COVID-19 pandemic. Furthermore, those detained often face lengthy stays beyond what is initially anticipated or requested by local officials as is currently being seen with Do Kwon’s case.