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Report: South Korean Prosecutors Raid Home of Terraform Labs Co-Founder

News Feed - 2022-07-25 05:07:47

Report: South Korean Prosecutors Raid Home of Terraform Labs Co-Founder


A team of South Korean prosecutors recently raided the home of Terraform Labs co-founder Shin Hyun-seong. During an earlier raid that targeted 15 places, including seven cryptocurrency exchanges, the prosecutors reportedly secured terra transaction data. Seven Cryptocurrency Exchanges Targeted


South Korean prosecutors investigating the spectacular collapse of Terra’s LUNA cryptocurrency reportedly raided the home of Terraform Labs co-founder Shin Hyun-seong on July 22. According to a report, the raid on Do Kwon’s fellow co-founder’s home came a day after 15 other places, including seven cryptocurrency exchanges, were similarly targeted by Seoul prosecutors’ Joint Financial Crimes Investigation Team.


During the search and seize raids, which also targeted Tchai Corporation, where Hyun-seong served as CEO, the prosecutors reportedly secured LUNA transaction data. According to the report, the other companies targeted by prosecutors include Kernel Labs, an affiliate of Terraform Labs, and Flexi Corporation where Kwon is listed as director.


Fraud Allegations


Following the fall of the UST stablecoin and the LUNA cryptocurrency, authorities in South Korea have sought to impose a tougher regulatory framework for cryptocurrencies.


Similarly, industry players such as cryptocurrency exchanges announced in June that plans to create a body mandated with preventing another collapse, similar to the Terra LUNA crash, were now on the cards.


Meanwhile, as per the Korean language Chosun Biz report, the prosecutors’ raids on individuals as well as companies associated with Kwon were sparked by disgruntled LUNA investors who raised fraud allegations in their lawsuits against the CEO. Tags in this story Cryptocurrency Exchange, do kwon, LUNA, Shin Hyun-seong, South Korea prosecutors, Tchai Corporation, Terraform


What are your thoughts on this story? Let us what you think in the comments section below. Terence Zimwara


Terence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route. SEC Criticized for How It Regulates Crypto — Chair Gensler Says Most Crypto Tokens "Have Attributes of Securities" REGULATION | 9 hours ago Credit Cards Should Not Be Used for Crypto Transactions, Taiwan’s Financial Watchdog Says REGULATION | 12 hours ago


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