Swiss authorities have reportedly frozen around $26 million in Bitcoin and other cryptocurrencies that are linked to Terraform Labs, its founder Kwon Do-hyeong, and other key individuals within the company. These digital assets were stored in Sygnum, a Swiss-based digital asset bank. The freezing of the assets is said to be in response to requests from US federal prosecutors in New York and the Securities and Exchange Commission. The move comes in the wake of the collapse of Terraform Labs’ algorithmic stablecoin, UST, in May 2022. Kwon is facing charges of fraud, securities law violations, and other offenses related to the collapse. In a separate case, Kwon and former CEO Chang-joon Han were recently sentenced to four months in prison in Montenegro for forging travel documents. The US and South Korea are both seeking to extradite Kwon. In February, Kwon and Terraform were charged by the SEC with defrauding US investors.
Continue reading on Decrypt.co
