Javier Hernandez Subtitle: Digital Assets Confiscated in Switzerland, Tied to Terraform Labs and Co-Founder
Law enforcement officials in Switzerland have seized around $26 million worth of bitcoin and other cryptocurrencies believed to be associated with Terraform Labs and its co-founder, Do Kwon. The funds were confiscated from Sygnum, a crypto bank located in Zurich. Local media in South Korea reported that the seizure was carried out following a request from the U.S. Securities and Exchange Commission (SEC), which played a significant role in the operation.
According to South Korean news publication Digital Asset, approximately $26 million in cryptocurrency assets linked to Terraform Labs and Do Kwon were seized from an account held at Switzerland’s Sygnum bank. The freeze order on the assets was issued by Swiss law enforcement authorities upon request from the U.S. Securities and Exchange Commission (SEC).
Earlier reports in late April indicated that Kwon’s alleged funds held at Sygnum Bank were being investigated, with Seoul prosecutors claiming that Terraform Labs and Kwon possessed $100 million in crypto assets. It was also alleged that Kwon, or someone acting under his direction, transferred $29 million, making it difficult for investigators to trace the funds. Digital Asset disclosed that the frozen assets are reportedly connected to Kwon, Chang-joon Han (CEO of Chai), and Nicholas Platias (researcher at Terraform Labs).
Meanwhile, Kwon has been found guilty of using counterfeit travel documents and identification in Montenegro, resulting in a four-month prison sentence. Law enforcement agencies from the United States and South Korea are currently working towards establishing an extradition agreement with Montenegro to bring Kwon back for prosecution in either the U.S. or Seoul. Concurrently, the developers of the struggling Terra Classic ecosystem, which experienced a collapse in May 2022, are making efforts to revive the blockchain ecosystem and its native cryptocurrency, LUNC.
We invite you to share your thoughts and opinions on the ongoing developments surrounding the seizure of cryptocurrency assets tied to Terraform Labs and Do Kwon in the comments section below.
Table of Contents
Frequently Asked Questions (FAQs) about seizure
What amount of cryptocurrency was seized by Swiss authorities and who is it linked to?
Approximately $26 million worth of bitcoin and other cryptocurrencies were seized by Swiss authorities. The funds are believed to be linked to Terraform Labs and its co-founder, Do Kwon.
From which crypto bank were the seized funds confiscated?
The funds were confiscated from Sygnum, a crypto bank based in Zurich, Switzerland.
What role did the U.S. Securities and Exchange Commission (SEC) play in the seizure?
The U.S. Securities and Exchange Commission (SEC) played a significant role in the operation. They reportedly requested the freeze order on the assets, leading to the seizure by Swiss law enforcement authorities.
Who else is associated with the frozen assets?
According to reports, the frozen assets are reportedly associated with Do Kwon, Chang-joon Han (CEO of Chai), and Nicholas Platias (researcher at Terraform Labs).
What legal issues is Do Kwon facing?
Do Kwon has been found guilty of employing counterfeit travel documents and identification in Montenegro, resulting in a four-month prison sentence. Efforts are being made by law enforcement agencies from the United States and South Korea to establish an extradition agreement with Montenegro for Kwon’s prosecution in either the U.S. or Seoul.
Is there any development regarding the Terra Classic ecosystem and its native cryptocurrency?
The developers of the struggling Terra Classic ecosystem, which experienced a collapse in May 2022, are making efforts to revive the blockchain ecosystem and its native cryptocurrency, LUNC.
More about seizure
- Swiss Authorities Seize $26 Million in Cryptocurrency
- Terraform Labs and Do Kwon
- Sygnum Crypto Bank
- U.S. Securities and Exchange Commission (SEC)
- Extradition Efforts for Do Kwon
- Reviving the Terra Classic Ecosystem
