Terra’s Do Kwon still has Bitcoin in Swiss bank, accuses Daniel Shin

by James · April 25, 2023

South Korean prosecutors indicted 10 people, including Terra co-founder Daniel Shin, on Tuesday related to the Terra-LUNA crisis. Prosecutors froze $185 million in assets as part of the investigation, while millions worth of Bitcoin remain in a Swiss bank.

The move came after a South Korean court on Monday rejected prosecutors’ appeal to confiscate Daniel Shin’s assets and arrest him for violating the Capital Markets Act.

Terra founders Do Kwon and Daniel Shin face the wrath of prosecutors

Prosecutors in Seoul’s southern district indicted Terra co-founder Daniel Shin and seven others without custody on multiple charges, including fraud, breach of duty and embezzlement. While two were charged with breach of trust, Korean news agency Yonhap reported on April 25.

Shin and others pocketed nearly $300 million in illegal profits from Terra ecosystem tokens by marketing and promoting these cryptocurrencies.

At a press conference after prosecutors indicted 10 people, Chief Prosecutor Dan Seong-han said prosecutors will continue to track Bitcoin holdings and transactions from TFL and LFG. Kwon still has millions worth of Bitcoin in a Swiss bank, having converted some to cash last year.

Earlier, the US SEC revealed that Do Kwon cashed out around $100 million worth of Bitcoin from a Swiss bank. An amount was transferred to the Kim & Chang law firm to pay legal fees.

Meanwhile, Do Kwon was detained and prosecuted in Montenegro for passport forgery. Daniel Shin and others were behind the structuring of the TerraUSD and LUNA cryptocurrencies, which led to $60 billion being wiped out in the Terra-LUNA crisis.

The prosecution is also requesting the extradition of Do Kwon from Montenegro. US prosecutors also charged Terra and Do Kwon with fraud and requested extradition. The extradition will take months as extradition proceedings have not yet started.

The prices of Terra (LUNA) and Terra Classic (LUNC) remain under pressure after Do Kwon’s arrest and prosecutors continued their action against Daniel Shin and related entities. The LUNA price is trading at $1.24, while the LUNC price is at $0.000109, down 1% in the last 24 hours.

Also read: Paradigm files Amicus Brief in US SEC lawsuit against Terra and Do Kwon

Varinder Singh

Varinder is a technical writer and editor, technology enthusiast and analytical thinker. Fascinated by Disruptive Technologies, he has shared his knowledge of Blockchain, Cryptocurrencies, Artificial Intelligence and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a significant period of time and currently covers all the latest updates and developments in the crypto industry.